Faire tax and commission
Lesson 16 of 30 8 min read
Choose whether tax comes from Faire's payout or from your Products, force tax codes where needed, and decide whether Faire's commission appears on the order.
Faire reports tax against the payout, not against each order line. That one fact drives every tax setting on the Faire order Configuration. You can't have Faire's tax and tax on the lines, so you choose one of two approaches. Commission is a separate, simpler choice.
By the end of this lesson you'll be able to choose a tax approach for a brand, set tax codes to match, and decide how commission is shown.
The big choice: setTaxAsAdjustment
| setTaxAsAdjustment = true | Faire's reported tax amounts are added as order-level adjustments, and every product line is zero rated. |
|---|---|
| setTaxAsAdjustment = false | No tax is taken from Faire. Product lines have no tax line from Faire; the tax code comes from each cross-referenced Product's own tax code. |
false needs tax codes on Products
With setTaxAsAdjustment off, each Product in Supply Lens needs a tax code. A Product without one
imports with no tax, unless you also set forceLineTaxCode.
How to choose:
- Pick true when the brand wants the tax exactly as Faire reported it, for example to reconcile against Faire's payouts.
- Pick false when the brand wants the ERP to tax lines its usual way, and its Products already carry the right tax codes.
Forcing tax codes
| forceTaxCode | A tax code for every line and adjustment, overriding tax information in the data. The fallback for the two settings below when they aren't set. |
|---|---|
| forceLineTaxCode | A tax code for product lines. Only has an effect when setTaxAsAdjustment is off, where it replaces the Product's tax code. |
| forceAdjustmentTaxCode | A tax code for discount and charge lines: the brand discount, the commission line and any tax adjustments. When unset, these lines are zero rated. |
Commission
| addDiscountForCommission | Off by default. When on, Faire's commission for the order (commission plus commission_flat_fee from the payout costs) is added as a discount adjustment, or as a charge if the combined figure is negative. |
|---|---|
| commissionTaxCode | The tax code for the commission line. Takes precedence over forceAdjustmentTaxCode. With neither set, the commission line is marked outside the scope of tax. |
With commission off (the default), the order shows the wholesale value, and commission isn't represented at all. With it on, the order total drops to roughly what Faire pays the brand, which can make reconciliation easier.
Tip
Ask the brand's accountant how they book Faire commission. If it's booked as a cost from Faire's
statements, leave addDiscountForCommission off so it isn't counted twice.
Two brands, two approaches
Fern & Finch keeps tax codes on every Product in Unleashed and wants the ERP to tax lines as
usual. It sets setTaxAsAdjustment to false and adds a forceLineTaxCode for the standard rate
as a safety net while a few new Products are tidied up. Commission is booked from statements, so
addDiscountForCommission stays off.
Brightwater Drinks reconciles every order against Faire payouts. It sets
setTaxAsAdjustment to true, turns on addDiscountForCommission and sets commissionTaxCode
to the code its accountant specified. The order total now matches the payout line.
Recap
- Faire reports tax against the payout, so choose: tax as adjustments (
true) or tax from Products (false). - With
false, Products need tax codes, or useforceLineTaxCode. forceAdjustmentTaxCodecovers discount, commission and tax adjustment lines.addDiscountForCommissionputs Faire's commission on the order;commissionTaxCodesets its tax, defaulting to outside the scope of tax.
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