Payment, pricing, and taxes

Daniela
Daniela
  • Updated

Payment and pricing

Is there a membership cost or fee for using Sensaria?

  • There are no membership or hidden fees for using Sensaria.

Where can I find your product prices?

How does product pricing work?

  • The prices listed include the cost of the good + the cost to print your custom design. For example, you pay us the cost for a product with your design printed on the front. You can then sell that product for however much you want! You set your own margins and you only pay Sensaria to have the product produced and shipped. 

When will Sensaria charge me?

  • When a customer places an order through your store, you'll receive the direct payment from them into your Etsy, Shopify, or Woo account. Once the order is processed, Sensaria will charge the cost of the order (product + shipping) to your credit/debit card or your Paypal account.

Do I need to set up shipping costs for my products?

  • If you decide to set up free shipping for your products in Shopify, it is not necessary to do it in Sensaria. All of your Shopify orders that are sent to Gooten are automatically using the standard shipping option (unless you're using Advanced Shipping Rules), and we will charge you for standard shipping costs regardless of how much you charge your customers. We recommend you use advanced shipping rules as it allows you to set your shipping prices.

Are there product discounts?

  • Pro and Elite VIM partners should talk to their Partnerships manager to see if they're eligible for a discount on product sales.

Currency rate conversion

Our system updates the Forex spot rate (the current exchange rate) daily, based on the actual rate, converting from USD to the desired currency.

All of our billings occur in USD, therefore the rate applied will always be the spot rate on the date of billing.  If you are on credit terms and you're using PayPal to settle your bill on a weekly basis, there will be slight changes to the amounts billed. It will depend on the billing date vs. the date of payment.  

At the moment, we do not support any currency settings in the Sensaria admin panel.

Taxes and customs duties with Gooten

Gooten will not collect taxes from your customers since we're just providing the software that routes and powers your orders.

Gooten will begin to charge a sales tax to all merchant partners for each order in jurisdictions where they have crossed applicable sales tax thresholds. Gooten merchants that are registered or become registered as a reseller (with a valid reseller certificate) will not be charged a sales tax.

Each state has a sales tax nexus and its definition of “nexus” which is essentially transactions your business is required to collect and remit taxes for. Sales tax nexus is when your business has a connection to the state.

  • For physical in-person retailers, a nexus could be an office, a place that stores inventory, a location where someone markets your business, etc. In certain states, nexus could be considered as easy as spending 10 days physically in the state doing business (IE. California).
  • For most online retailers, they would have an economic nexus that connects them to a state. An economic nexus is making a certain amount of sales (dollar amount threshold) within a state.

Since each state has different sales tax nexus definitions, it’s important that you are familiar with your local definitions and the definitions of sales tax nexus for anywhere you ship to. A good rule of thumb is that if you collect sales taxes, you must remit those sales taxes to the state collected. 

To get a better understanding of the collection of taxes for eCommerce businesses, we recommend you read over this TaxJar guide.

Charging sales tax

If you are currently using Shopify, sales taxes are calculated and charged by the Shopify checkout. For Partners on other platforms, there are other software solutions that can assist you with sales tax collection such as TaxJar.

Please always check and double-check the amount of sales tax that you are charging your customers.

When it comes to international orders, there is no general rule when custom duties and taxes are applied and this can differ from country to country. Some countries even require you to list the sales tax in the product price like the UK. They can also depend on the limits, package value, and various other factors based on the product itself. Gooten is not responsible for covering these costs and is typically covered by the recipient.

When setting your retail prices or manually editing them, please keep in mind that customs agencies often calculate duties/fees based on the declared retail price.

If you're a Shopify user, Shopify provides you two different options to charge taxes to your customers:

  • You can charge taxes by having the taxes already included in the cost of the product
  • You can charge taxes based on US Shipping rates

The first option is typically what our partners decide to do and we recommend building taxes into your margins.

Gooten, Inc and its affiliates do not provide tax, legal, or accounting advice. This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, tax, legal, or accounting advice. You should consult your own tax, legal, and accounting advisors before engaging in any transaction.

 

Was this article helpful?

/