Learn how to use AvaTax to calculate checkout bag fees, which are a fee collected on certain kinds of grocery bags to encourage businesses and consumers to use recyclable bags instead of non-biodegradable plastic ones.
Calculation of checkout bag fees is not compatible with all business applications, and may require custom development using the AvaTax APIs . Contact your Account Manager if you're interested in using Avalara to calculate checkout bag fees.
Where you collect tax
Configure where you collect checkout bag fees. AvaTax supports calculation of these fees in the following jurisdictions:
|Jurisdiction name||Jurisdiction type||Region||Country|
|New York City||City||NY||US|
Use one of the following tax codes to calculate checkout bag fees:
|Tax code||Tax code name|
|PB500200||Checkout Bag (plastic)|
|PB500100||Checkout Bag (paper)|
|PB500201||Checkout Bag (plastic; min. 4 mils thick; for long-term re-use)|
|PB500202||Checkout Bag (plastic; min. 2.25 mils thick; for long-term re-use; min. capacity 15L; washable/disinfectable; label shows name and location of manufacturer, true statement that bag contains no heavy metals, percentage of postconsumer material, if any)|
|PB500101||Checkout Bag (paper; max. capacity 8# (approx. 5.2L); contains min. 20% postconsumer material; is compostable and recyclable; label shows percentage of recycled content)|
|PB500102||Checkout Bag (paper; min. capacity 1/8th barrel (approx. 14.5L); contains min. 40% postconsumer material and no old growth fiber; is compostable and recyclable; label shows Recyclable, % of recycled content, name and location of manufacturer)|
|PB500000||Checkout Bag (any material)|