Understanding Stripe Tax pricing

Stripe Tax pricing is usage-based and determined by the number of transactions or the sales volume that you process through Stripe Tax for tax calculation and collection. The pricing varies based on the type of integration you use. No matter which integration you use, you only incur fees for transactions in jurisdictions where you have an active tax registration.

Low code and no code integration with Stripe Billing, Invoicing, Checkout, and Payment Links

The pricing for Stripe Tax low code and no code integration is 0.5% of the volume processed, in jurisdictions where you are registered to collect tax. This volume includes the complete transaction amount, including any calculated sales tax.

API integration with Stripe Tax

Stripe Tax provides two distinct APIs - The Calculations API and the Transactions API. Both APIs are priced based on the number of API calls you make.

Note: Fees for the API are specific to each market and based on the location of the merchant, regardless of where the transaction takes place. For example, a merchant based on the US and sells products to various countries, the fees for the Stripe Tax API will be charged in US Dollars (USD) for all transactions.

If you’re using the Stripe Tax Calculations API only

You will be charged from your Stripe balance on a daily basis for all Calculation API calls made.

If you’re using the Stripe Tax Calculations and Transactions APIs

With every Transaction API call, you receive up to 10 Calculation API calls for free. If you exceed the 10 Calculation API calls per Transaction API call, $0.05 is charged per additional Calculation call. This is aggregated on a monthly basis.

You will be charged from your Stripe balance on a daily basis for all Calculation and Transaction API calls made. At the end of each month, a rebate is applied if there’s a difference in Calculation API calls. If applicable, you will be credited for the excess Calculation API calls. Rebates are completed by the end of the calendar month, plus an additional three business days.

Pricing example

Example #1: User uses Calculation API call only

A user makes 1,000 Calculation API calls and doesn’t make any Transaction API calls during the month. As the API calls are made, the user is charged on a daily basis. Since no Transaction API calls were made, no rebate is applicable. In total, the user is billed for $50 that month.

Example: User uses Calculation API call only

Example #2: User makes 1 Calculation API call for every 1 Transaction API call

A user makes 1,000 Calculation API calls and 1,000 Transaction API calls during the month. As the API calls are made, the user is charged. At the end of the month, the user is rebated for the 1,000 Calculation API calls because up to 10 Calculation API calls are included for every 1 Transactional API call. The user is billed only for 1,000 Transaction API calls and charged $500.

Example: User makes 1 Calculation API call for every 1 Transaction API call

Example #3: User makes more than 10 Calculation API calls for every 1 Transaction API call

Use case: This is an unlikely scenario but may occur if a website has a very low conversion rate or if the Calculations API is implemented in a way that it is called more than needed.

A user makes 1,000 Calculation API calls and 80 Transaction API calls during the month. As the API calls are made, the user is charged. The user qualifies for a rebate of 10 Calculation API calls per Transaction API call. At the end of the month, the user is rebated for 800 Calculation API calls. The user is then charged for 200 Calculation API calls and 80 Transaction API calls.

Example: User makes more than 10 Calculation API calls for every 1 Transaction API call

Additional information

Related articles

When do you charge a fee for Stripe Tax?

Do you charge a fee when the tax collected is zero?

Do you calculate taxes on Transactions in markets where I’m not registered?