Marketplace Tax for Online Ordering Partners
In several states, Online merchants such as Doordash, Ubereats, and Grubhub, have to collect tax and pay it directly to the state, without that tax collected going to the restaurant.
Right now, under the current iteration of the integrations with Doordash, Grubhub, and Ubereats, the taxes on those orders are bundled with the default sales tax set for the restaurant. This makes it difficult to differentiate what revenue and what tax is from Online Partners and which one is from the restaurant or direct-online-ordering with the restaurant.
The Clover Help file on "Track Taxes on Sales" (https://www.clover.com/en-US/help/track-taxes-on-sales) mentions:
"Marketplace taxes
If applicable, this row includes the amount of taxes collected on your behalf by third-party ordering services like Uber Eats or Grubhub. "
Marketplace taxes apply in my state (Michigan) but are bundled into "Sales Taxes".
Moreover, the Tax report has no filtering capabilities to filter by "Provider" or detail it by "Order Type" or "Source".
Ideally, the Tax Report would do what the help file says, putting Marketplace Facilitator Taxes in its own row.
How would this help merchants?
It would make it easier for merchants prepare their financial reports and know exactly how much Taxable Revenue needs to be reported, as well as identifying exactly how much Tax was collected by the Online Partner.