Square Tax Reporting and Invoices FAQ
If you have enabled the Afterpay service, In-house delivery or On-demand Delivery service through your Square account, you will be charged applicable indirect taxes on the fee for each transaction using the Afterpay payment method or delivery order. Square will provide a tax invoice to you in order to assist you with your tax obligations. A tax invoice will be available in your online Square Dashboard on the fifth day of the following month. Please note that the fees and related indirect taxes contained in the invoices Square provides are deducted from your account at the time of the transaction and are not outstanding. For more information regarding tax obligations related to Square services, please review the Terms of service.
Find answers to frequently asked questions about monthly tax invoices.
What is included in the Square Monthly Tax Invoices?
Your tax invoice from Square has a unique invoice number and the date the invoice has been issued. It also includes the total amount of fees collected for transactions using the Afterpay payment method, the total amount of fees collected by Square for using for a delivery service with Square Online, applicable tax on fees and the total amount of fee and taxes combined.
How can I get my tax invoice?
The invoice will be available to download on the fifth of every month.
Go to Settings > Account & Settings on your online Square Dashboard.
Click Business information > Tax Invoices.
Click on the month and click Download and if necessary, update your tax information.
Don’t see a tax invoice for the current month?
If you don’t see an invoice available for download in Tax Invoices, it is most likely because you didn’t qualify to receive one based on your account activity (for example, you didn’t process any payment using the Afterpay payment method). If after the fifth of the month your online Square Dashboard doesn’t show a tax invoice and you believe you qualify for one, contact Square Support.
Note: You cannot access your tax invoice via your Square Point of Sale app. Use a compatible web browser on your mobile device or laptop/desktop computer instead.
My customer used Afterpay as the payment method on my Square Online website. How do I view the total monthly fees?
When you download your monthly tax invoice, the “Afterpay Fees (excl. tax)” line item will display the total fees paid for that month. You can also go to Reporting > Payment Methods Report on your online Square Dashboard to view Afterpay and other payment fees.
How are the applicable indirect tax amounts on the invoice calculated?
The indirect tax amounts are calculated based on the total fees paid in a given calendar month. Please note that your fee rates may vary from the advertised percentage due to rounding.
What if I have multiple accounts?
Each Square account will have its own tax invoices.
What if I have multiple locations?
If you have multiple locations set up on one Square account, each location will have its own tax invoices.
Disclaimer: The guidance contained in this article is for informational purposes only and does not constitute legal, tax or any other type of professional advice. If you are unsure about your tax obligations or where to find the relevant information, we suggest that you consult with a professional.