Tax by City

Managing tax is always complicated for any business and individual. It is more complicated if you are managing the eCommerce store and selling products in United States because each states has a different tax rate. It is even more complicated if you want to manage the taxes based on the city.
Native Magento systems only support to manage the tax based on the Country, State and Zip-code. It's not possible to manage the tax based on the City. To overcome this issue, DCKAP developed the module 'Tax by City', which is used to manage the tax rate based on the city.

Below are the list of Scenarios we considered while developing the Tax by City Module.

• Same City Name may exist in different Zip code but Tax rate may vary.
• Same Zip Code may exist for different City but Tax rate may vary.
• Same City Name will come under specific zip code ranges.

Once the customer orders a product, during checkout, Tax by City calculates the tax based on the Shipping Address of the Customer. The calculated tax amount is automatically added to the invoice so that the customers are well informed about the tax component.

Features

• Manage taxes based on City, State, Country & Zip code
• Enable/Disable the tax by city at any time from Magento backend
• Ability to provide zip code in ranges. Ex: 56001 - 56005
• Zip Code ranges can also be manageable from Backend Configuration.
• Reduces the pain point of managing taxes for cities with different zip codes or zip code with different cities
• Supports translations
• Follows Magento standards to ensure High Quality

Module Configuration

To enable the extension, go to STORE > Configuration and from left side menu navigate to DCKAP->Tax By City.

General Configuration

• Select Enable to Yes for enabling the module.
• Select Enable City for Zip Code Range to Yes for allowing Store Owners to provide zip code in range.

Add New Tax Rate

Navigate to Stores > Taxes > Tax Zones and Rates and Click 'Add New Tax Rate' Button in the right corner.

Provide all the necessary information that Magento has by default and in addition to that, City Field also needs to be filled out.

If Enable City for Zip Code Range is set to Yes in Backend Configuration, Zip/Post is Range field is available to provide range values.

Once the tax information is given, save the tax rate information. The Tax Identifier should be unique.

Tax Rate Configuration

Manage all the tax rate configurations based on City / Zipcode. Store can filter the tax rates based on City also.

Sample Scenarios

Let us take the scenario in which 2 different cities, Baldwin Hills and Leimert Park. Both have the same zip code 90008, but different tax rates, 7% and 8% respectively. Even though the above cities have the same zip code, “Tax by City” extension has the provision to provide different tax rates as required in the above scenario.

In a slightly different version of the above scenario, we can create a tax rate with city name field empty with 7.5 % tax rate, which in turn will be applied to all the remaining cities under the zip code 90008.

Let us assume that a particular city, Leimert Park, has a range of zip codes, say 90000 to 90009. “Tax by City” extension allows you to define the city and the range.

As a continuation of the above scenario, some other city within that range, say Baldwin Hills, has a zip code of 90008 and a different tax rate, “Tax by City” provides the provision to enter the city name (Baldwin Hills), zip code (90008) and a different tax rate for the same.