📍 Where to find this module?
Settings > Tax Management > Tax Calculation
Introduction #
The Tax Calculation module allows you to configure the taxes applicable to products and services in Kafinea. It is accessible via Settings > Tax Management > Tax Calculation.
The configuration panel has three tabs:
- Taxes: taxes applicable to products and services (VAT, eco-tax, etc.)
- Charges and their taxes: taxes on ancillary costs (delivery, etc.)
- Tax Regions: geographical areas with different tax rates
1. Understanding Tax Categories #
VAT in France #
:::info Please note
The VAT rates presented below are provided for informational purposes only and reflect the rates in force at the time of writing this documentation. As tax regulations may change, it is the responsibility of each company to verify the applicable rates with official sources (e.g., service-public.fr) and to update its configuration in Kafinea accordingly.
:::
In France, VAT is divided into four categories, with rates varying by geographical area:
| Category | Metropolitan France | Corsica | Overseas Departments (Guadeloupe, Martinique, Réunion) | Guyana / Mayotte |
|---|---|---|---|---|
| Standard rate | 20% | 20% | 8.5% | 0% |
| Intermediate rate | 10% | 10% | 2.1% | 0% |
| Reduced rate | 5.5% | 5.5% | 2.1% | 0% |
| Super-reduced rate | 2.1% | 0.9% | 1.05% | 0% |
Other Taxes #
VAT is not the only tax applicable to products and services. Depending on your activity, other taxes may apply:
- Tax on precious metals
- Packaging contribution
- Eco-tax / eco-contribution
- WEEE (Waste Electrical and Electronic Equipment)
- Tax on edible oils
Each tax must have a distinct entry in Kafinea.
2. Configure Tax Regions #
Important: Configure tax regions before creating your Variable type taxes.
Tax regions allow you to define different rates for the same tax depending on the geographical area.
Create a region #
- Go to Settings > Tax Management > Tax Calculation
- Click on the Tax Regions tab
- Click on Add a new region
- Enter the region name (e.g., “Metropolitan France”)
Recommended regions for France #
- Metropolitan France
- Corsica
- Overseas Departments (Guadeloupe, Martinique, Réunion)
- Guyana / Mayotte
Tip: You can group several territories into the same region if they share the same tax rates.
3. Create Taxes #
Good Naming Practices #
Name your taxes by category, not by rate.
| ✅ Good practice | ❌ Bad practice |
|---|---|
| VAT – Standard Rate | VAT 20% |
| VAT – Intermediate Rate | VAT 10% |
| VAT – Reduced Rate | VAT 5.5% |
| VAT – Super-reduced Rate | VAT 2.1% |
Important: Naming a tax “VAT 20%” is misleading because the 20% rate only applies in Metropolitan France. In Corsica or the Overseas Departments, the standard rate is different.
Create a Variable Type Tax #
- Go to the Taxes tab
- Click on Add a new tax
- Enter the name (e.g., “VAT – Standard Rate”)
- Select the Variable type
- Enter the default value (e.g., 20 for Metropolitan France)
- Add regional tiers by clicking on Add a tax tier:
- Select the region(s) concerned
- Indicate the applicable rate
Example: For the “VAT – Standard Rate” tax:
- Default value: 20 (Metropolitan France)
- Corsica: 20
- Overseas Departments: 8.5
- Guyana / Mayotte: 0
Fixed vs. Variable Type #
- Fixed: a single rate, identical regardless of the region. Suitable for taxes that do not vary geographically.
- Variable: a default rate + specific rates per region. Recommended for VAT and any tax whose rate varies by geographical area.
Calculation Method #
- Simple: the tax is calculated on the base amount
- Compound: the tax is calculated on the base amount + other selected taxes
- Deducted: the tax is included in the price and deducted from the amount
4. Assign Taxes to Products and Services #
Once taxes are configured, each product or service record displays the available taxes in the Pricing Information block.
- Open the record of a product or service in edit mode
- In the taxes section, check the tax(es) applicable to this item
- The displayed rate is the default rate; it will be automatically adjusted according to the tax region selected when creating a quote, invoice, or order
Tip: Generally, a standard product only needs one VAT category checked (e.g., “VAT – Standard Rate”). Some specific products may require additional taxes.
5. Use in Commercial Documents #
When creating a quote, invoice, or order:
- The tax region is selected on the document
- The system automatically applies the rate corresponding to the region for each Variable type tax
- If no region is specified, the default rate is used
FAQ #
Why not simply create “VAT 20%”?
Because the VAT rate depends on the geographical area. By creating “VAT – Standard Rate” with the Variable type, you allow the system to automatically apply the correct rate (20% in metropolitan France, 8.5% in the Overseas Departments, etc.).
Can a product have multiple taxes?
Yes. A product can be subject to VAT and another tax (eco-tax, WEEE, etc.). Check all applicable taxes on the product record.
What happens if I don’t configure tax regions?
Taxes will operate with their default rate (Fixed type or Variable type default value). You will not benefit from automatic adjustment by geographical area.
Related References #
- Products — Product catalog management