Each product and shipping method you create in Commerce Cloud has a Tax Code property. Vertex O Series uses the value of the Tax Code property when it calculates tax for the product or shipping method. The value of the Tax Code property is the code you assigned to a taxability category in Vertex O Series. For example, if your store sells gift cards, the value of the gift card product’s Tax Code property is the code you assigned to the Gift Certificates/Cards tax category in Vertex O Series.

Note: Tax Code is not a required property; that is, Commerce Cloud allows you to create a product or shipping method without providing a tax code. However, Vertex recommends that you assign a tax code to every product and shipping method you create. Otherwise, the tax calculations may return unexpected results, including a higher-than-anticipated tax amount. If you leave a product or shipping method’s Tax Code property blank, Vertex calculates the tax at the maximum rate that guarantees compliance.

You can find information about tax categories in the Vertex documentation, which is available when you log into Vertex Central.