Hookset integrates with Stripe Tax to automatically calculate the correct sales tax for each transaction based on your lodge's location. Tax is added as a separate line item on guest invoices and checkout pages.
How It Works
When a guest checks out or pays an invoice, Hookset sends your lodge's address (state and ZIP code) to Stripe Tax. Stripe determines the applicable tax rate and returns the calculated tax amount. This tax is added to the guest's total as a separate line item so guests see exactly how much tax they are paying.
The tax calculation happens automatically -- you do not need to look up rates or configure tax tables manually.
Setting Up Stripe Tax
Step 1: Activate Stripe Tax on Your Account
Stripe Tax must be activated in your Stripe Dashboard before Hookset can calculate tax:
- Log in to your Stripe Dashboard.
- Go to Settings > Tax.
- Complete the Stripe Tax setup, which includes:
- Confirming your business address.
- Adding tax registrations for the states where you collect tax.
- Enabling automatic tax calculation.
Stripe provides a guided setup process. Most lodges only need to register in their home state.
Step 2: Verify Your Lodge Address in Hookset
Hookset uses your lodge's address to determine the tax jurisdiction. Make sure your address is complete:
- Go to Settings > Profile in Hookset.
- Confirm that your State and ZIP code are filled in.
The state and ZIP code are required for tax calculation. If either is missing, Stripe Tax cannot determine the correct rate.
What Guests See
When tax is calculated, guests see it as a separate line item during checkout:
| Line Item | Amount | |-----------|--------| | Package (3 nights / 2 days) | $2,400.00 | | Tax | $168.00 | | Total | $2,568.00 |
Tax also appears as a line item on invoice emails and the guest payment page.
Tax on Split Payments
When Split Pay is used, tax is calculated proportionally for each participant's share. Each person's payment link reflects their portion of the tax.
What Happens If Stripe Tax Is Not Activated
If Stripe Tax is not activated on your Stripe account, Hookset does not block the transaction. Instead:
- Tax is calculated as $0.
- No tax line item appears on the guest's checkout or invoice.
- The transaction processes normally at the pre-tax amount.
This fail-open behavior means your existing payment flow is never interrupted. You can activate Stripe Tax at any time and it will apply to all future transactions.
Tip: Even without Stripe Tax, you are still responsible for collecting and remitting applicable sales tax. Activating Stripe Tax automates this process and ensures compliance.
Tax Reporting
All tax collected through Stripe Tax is tracked in your Stripe Dashboard under Tax > Transactions. Use these reports for filing state sales tax returns. Hookset does not generate separate tax reports -- Stripe is the system of record for tax data.