Before you start
- WooCommerce installed
- Know your business registration country and tax obligations
WooCommerce → Settings → General
Set selling location(s) and default customer location (shop base or geolocation).
Choose currency and thousand/decimal separators to match your market (e.g. EUR with comma decimals in RO/EU storefronts).
Enable taxes and pick display mode
Check “Enable taxes” if you must collect VAT/sales tax.
Decide whether catalog prices are entered inclusive or exclusive of tax — B2C EU shops often use prices including VAT.
Official WooCommerce tax docs: https://woocommerce.com/document/setting-up-taxes-in-woocommerce/
Standard and reduced rates
WooCommerce → Settings → Tax → Standard rates: add country, rate %, and tax name (e.g. VAT).
Use additional tax classes for reduced rates (food, books) if your accountant requires them.
For EU cross-border B2C, investigate OSS/IOSS with a tax professional — plugins can help calculate but do not replace advice.
Optional: automated tax services
WooCommerce Tax (powered by TaxJar) or similar extensions automate US/EU rules when configured with nexus data.
If you stay manual, document rate tables and review them quarterly.
Verify prices on the storefront
Open a product as a customer in your country and in a foreign country (VPN or shipping test) to see tax lines on cart and checkout.