#frallain-tax

1 messages · Page 1 of 1 (latest)

idle jettyBOT
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quaint pawn
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not related

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(Given that Stripe Tax needs some address information)

oblique stone
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What is the state of the subscription in this case?
it depends on what your settings are for failed payments on Invoices.
When the trial ends an Invoice is created and payment attempted and that will fail since there is no PaymentMethod available; and then your recovery/retry settings kick in. So the Subscription might go to past_due for example.

default_incomplete doesn't matter, if you use a trial period the Subscription goes straight to status:trialing.

Don't think Tax comes into this overall.

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You could also test this exact scenario using Test Clocks

quaint pawn
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Yes but here I am talking about the state of the sub after getting out of trialing

oblique stone
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indeed, and I addressed that.

quaint pawn
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So you are saying that after the trial period of 7 days expires, it stays in state trialing ?

oblique stone
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no. I'm saying an Invoice is created and payment on it fails, and then the status of the Subscription depends on what your Invoice retry settings are.

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If automatic payment fails, the subscription updates to past_due and Stripe attempts to recover payment based on your retry rules. If payment recovery fails, you can set the subscription status to canceled, unpaid, or leave it past_due.

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that ^^ is what happens at the end of the trial( trialing -> past_due)

quaint pawn
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I am asking because right now, we have the same flow but with payment_behavior at allow_incomplete and the problem is that in this case the subscription goes from trialing to active because Stripe tax cannot finalize the out-of-trial invoice because no customer address, and so the invoice stays as draft which makes the sub go to the active state.
BUT the customer has not paid anything!!

oblique stone
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subscription goes from trialing to active because Stripe tax cannot finalize the out-of-trial invoice because no customer address.
seems strange, have you worked with us/our support team on that issue already?

idle jettyBOT
quaint pawn
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No I haven't. That's really inconvenient for us, since we don't want to require from our customers in trial to fill in their address for a more fluid UX.

oblique stone
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does seem strange, I'd defintely try to work with us on that(like sharing examples of Subscriptions where that transition happened we can understand if it's expected or not or what could be done differently)

quaint pawn
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ok, please keep this thread open, I will give you some examples

placid siren
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👋 stepping in

quaint pawn
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-> he got out of trial, an invoice got generated, Stripe tax could not work because no address so the invoice stayed as draft -> sub is active.

placid siren
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Taking a look

quaint pawn
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what i'd expect : sub should be past_due

placid siren
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Still looking, going to need a few. I'll circle back

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Alright so looks like this is only possible because you updated the Subscription to include automatic tax after you created it.

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It would have failed if you attempted to create the Sub with automatic tax w/ a trial but no address.

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So I'm flagging this internally as this does seem like bad behavior

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It is going to take us a bit to unwind this and determine what should happen exactly, especially with Subscriptions where this has already occurred.

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What I'd recommend at this point is writing into our Support team about this via https://support.stripe.com/contact/login and they can update you as we progress on a resolution internally.

quaint pawn
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It would have failed if you attempted to create the Sub with automatic tax w/ a trial but no address.
What do you mean by "It would have failed" ?

placid siren
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If you try to create a Subscription with automatic_tax enabled + a trial period but no address collected for the Customer then that request will fail.

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The reason yours succeeded, is because you set automatic_tax to enabled on a separate update after you created the Subscription previiously.

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To me this is a bug that leads to the bad behavior you are experiencing

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I don't believe we ever intended for this to be possible

quaint pawn
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OK indeed this subscription gets created with automatic_tax disabled, and then we enable it afterwards.

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But for most of our subscriptions, we create them "with automatic_tax enabled + a trial period but no address collected for the Customer" and the call works fine.

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let me find you an example for this case

placid siren
idle jettyBOT
quaint pawn
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@oblique stone OK indeed, all the subscriptions we create are with automatic_tax disabled.
Because the Use automatic tax calculation toggle is ON at https://dashboard.stripe.com/settings/tax I thought that the subscriptions we create via the API would be with automatic_tax enabled but they are not.

placid siren
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Yeah you have to set it explicitly on the Sub for it to be enabled

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So yeah at this point I think this is a bug on our end where we should never have let these Subscriptions get into this state. I've escalated internally but waiting to hear back still and it might take a bit.

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So that is why I would recommend following up over email with our Support team at this point.

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I do appreciate you flagging this.

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Definitely seems like bad behavior to let Subscriptions get in this state imo

quaint pawn
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and I confirm it's not possible to create subscriptions with

automatic_tax={"enabled": True},

if the customer has no address information,
it does return the following error:

{
  "error": {
    "code": "customer_tax_location_invalid",
    "doc_url": "https://stripe.com/docs/error-codes/customer-tax-location-invalid",
    "message": "The customer's location isn't recognized. Set a valid customer address in order to automatically calculate tax.",
    "request_log_url": "https://dashboard.stripe.com/test/logs/req_gaMbSZCN3p1mCY?t=1698936900",
    "type": "invalid_request_error"
  }
}
placid siren
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Correct

quaint pawn
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One last question

placid siren
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Sure

quaint pawn
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If the Use automatic tax calculation toggle is ON and a subscription is created through the Stripe Dashboard, will it be created with automatic_tax={"enabled": True}, ?

placid siren
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If you toggle it on during creation, yes.

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There is still an option in the Dashboard

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That button looks like:

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And it is toggled on by default but you can toggle it off when you create the Subscription as well

quaint pawn
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OK, so indeed right we have the Use automatic tax calculation toggle at ON, but we create subscriptions through the API, so they have automatic_tax disabled.
But since the end-of-cycle invoices are created automatically by Stripe, are they with automatic_tax enabled or disabled?

placid siren
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The Invoice is generated with or without tax based on the Subscription's automatic_tax property at that time

quaint pawn
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OK. The role of the toggle is very unclear and not documented precisely...

placid siren
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Yeah I don't think we document each toggle and stuff like that in the Dashboard.

quaint pawn
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So from what I gather, the toggle is a UI thing to set a default value for the other Collect tax automatically UI toggles when creating ad-hoc subscriptions and invoices. correct?

placid siren
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I believe the settings toggle enables auto tax in the first place

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But really we focus on the API -- we aren't that familiar with the Dashboard.

quaint pawn
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Where can I ask questions about the dashboard?

placid siren
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Our Support team knows more about the Dashboard than we do.

idle jettyBOT
steep lintel
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frallain-tax