Syncing Sales Tax in WooCommerce orders with Xero - United States

Learn how to seamlessly sync sales tax in WooCommerce orders with Xero accounting software for business in the United States.

Written by the MyWorks Team

Updated at November 6th, 2025

MyWorks makes it as easy as possible to handle accounting for the sales tax collected in WooCommerce. We'll automatically sync the tax charged on the order into Xero as we sync the order; no setup required on your part!

MyWorks is compatible with auto sales tax enabled in Xero. Additionally, Myworks Sync can also be used alongside any automated sales tax plugin in WooCommerce, or simply by configuring your tax rates manually in both WooCommerce and Xero.

When using Auto Sales Tax in Xero (US) 

If your Xero account is in the United States, you will have the option to either enable auto sales tax in Xero or to set up manual tax rates: 

The Sales Tax collected in the WooCommerce order will be passed into the "Total sales tax" subtotal field in Xero. This will always match what's collected in the WooCommerce order, and you can use reporting in Xero to report on sales tax collected. 

Syncing tax as a line item

Alternatively, if you do not wish to use the Xero Automated Sales Tax feature, and/or have sales tax turned off in Xero, you can sync tax as a line item in the Xero order instead.

You can enable the setting to sync sales tax as a line item in MyWorks Sync > Settings > Tax. This will cause the Sales Tax collected in the WooCommerce order to be passed into a line item in Xero. This item can be created in your Xero products and assigned to your "Sales Tax Payable" account. This is recommended in scenarios where an automated sales tax plugin is being used in WooCommerce. 
 

Mapping WooCommerce and Xero Manual Tax Rates: 

If you have manually configured your tax rates in both WooCommerce and Xero, you can also map these rates together in MyWorks Sync>Map>Taxes. These tax rate mappings determine which Xero rates will be applied based on the WooCommerce tax rates specified in the order. The Xero non-taxable rate in MyWorks Sync > Settings > Tax controls the non-tax rate in Xero applied in scenarios where a WooCommerce order is not taxed.