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Comprehensive breakdown of the vendor-liable sales tax model.
Last updated: April 9, 2026
BookingXi uses a vendor-liable sales tax model. This means you (the business owner) are responsible for collecting, reporting, and remitting sales tax to your state tax authorities. BookingXi collects the tax on your behalf at checkout and includes it in your Stripe payout, but BookingXi has zero tax liability — filing and payment is entirely your responsibility.
You Collect, You File
Tax is calculated automatically by Stripe Tax based on two factors: the customer's billing location and your tax registrations. The tax is exclusive, meaning it is added on top of the experience price rather than included in it.
For example, a $35 experience in Texas (8.25% tax rate) would charge the customer $37.89 — that is $35 for the experience plus $2.89 in sales tax.
If a customer is located in a state where you do not have a tax registration, no tax is charged on that transaction. This is expected behavior — you only collect tax in states where you have nexus (a tax obligation).
The tax collected at checkout is included in your regular Stripe payout along with the experience revenue. It is not separated into a different account — the full amount (revenue + tax) is deposited to your bank account on Stripe's standard payout schedule (typically 2 business days).
You are responsible for setting aside the tax portion from your payouts and remitting it to your state tax authority during quarterly filing.
| Transaction Type | Tax Treatment |
|---|---|
| Standard booking | Tax calculated and charged on top of the experience price |
| Gift card purchase | Taxed at time of purchase, just like any other transaction |
| Gift card redemption | Tax charged only on the remaining cash portion — the gift card amount is not double-taxed |
| Cancellation refund credit | Gift cards issued as refund credits are not taxable |
Here is a concrete example of how money flows for a $35 experience with 8.25% sales tax:
| Line Item | Amount |
|---|---|
| Experience price | $35.00 |
| Sales tax (8.25%) | $2.89 |
| Customer pays | $37.89 |
| Stripe processing fee (2.9% + $0.30) | -$1.40 |
| BookingXi platform fee (5% of $35) | -$1.75 |
| Your payout | $34.74 |
| Breakdown: $31.85 revenue + $2.89 tax you owe the state | |
You are responsible for filing and remitting sales tax to your state tax authorities, typically on a quarterly basis. To prepare for filing:
Consult Your Accountant
No. You only need to register in states where you have nexus (a tax obligation). For most experience businesses, this is just the state where your business is physically located.
You do. BookingXi collects the tax at checkout and includes it in your Stripe payout, but you are responsible for filing and remitting to the state.
Tax is exclusive — it is added on top of the experience price. A $35 experience at 8.25% charges the customer $37.89.
Yes. Go to Revenue > Sales Tax at any time to add or remove state registrations. Changes take effect immediately for new transactions.