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Revel POS - How to Configure Revel for a Marketplace Facilitator Tax


Summary

In many jurisdictions, Marketplaces are required to remit Sales Tax. These are termed Facilitator Tax jurisdictions. A restaurant, then, does not want to add Sales tax to the order when it comes to the POS since the marketplace will remit taxes. 

Solution

Configure Revel so that Sales Tax is not added to certain Marketplace Orders by the POS system.

Important: The following solution involves changes to your Sales Tax settings. This is one simple solution for Facilitator Taxes that may or may not apply to your specific situation. Olo doesn't know the specific configuration of taxes in your restaurant. Always consult with Revel support before making any changes to taxes.

Steps

  1. First you need to enable Tax by Dining Option. In Revel, go to Settings. Click on Clear Selections.

    Settings.png

    Then enter Tax by Dining in the search area. Under Advanced Pos Settings, enable Tax by Order/Dining Save.

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  2. In Settings, clear selections again. In the search window, type order option and select Custom Order Options. Create a new option for each marketplace.

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  3. Go to Products and click Taxes in the left column. Your prevailing tax rate will be displayed. Click Advanced Settings. Select Individual Taxes.

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  4. Add a tax. In this example I named it Facilitator Taxed. Make the tax 0%. Save the tax and then edit it. In the Order Types area, add the appropriate marketplace(s).

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    Save this again.
  5. Note: When using Tax by Dining Option, if an Active tax has no Dining Options assigned, it will apply and overrule any other taxes. So, still in Individual Taxes, edit the Prevailing Tax and add to it every dining option that is not one of your non-taxable marketplaces.

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    Save this and return to Products.

  6. Push these changes to the appropriate stores.


Important: If you are unsure of making tax changes, consult with Revel support. As a best practice, if you proceed with changes, write down exactly what you changed in each step. There are additional tax objects in Revel that are not addressed here. For example Tax Groups. These would create layered taxes (a primary tax and a secondary tax for reporting breakouts).

If using Tax Groups, the above steps will likely need to be duplicated for each tax. This is beyond the scope of this article and should be handled by a Revel professional.

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