Turn on the sales tax lookup from the Tax Rates screen
Turn on the sales tax lookup in Xero to automatically calculate and add tax to invoices for your US-based customers. Turning on the sales tax lookup from the Tax Rates screen is an alternative way to turning it on when adding an invoice.
- Go to Settings, then General Settings.
- Under Organization, click Tax Rates.
- Click Tax Rates Look Up.
- Select the Turn on tax rate look up checkbox.
- Enter the physical address of your business (if you haven't already added your physical address in Xero).
- Enter the states where you business is registered to collect sales tax.