Event professionals like florists, caterers, and venue managers rely on invoicing software to handle taxes accurately. Some software calculates taxes on a line-item basis, applying tax to each individual item on an invoice, while others use a subtotal basis, applying a single tax rate to the total. Curate calculates taxes on a per-line-item basis, and this educational guide explains why it’s the modern, best-practice approach for clear, compliant invoicing in the event industry.

Line-item tax calculation applies taxes to each item on an invoice based on its specific tax rate. For example, a florist’s rental items like vases might be taxable in one locality but exempt in another, while catering services could face different tax rules. Curate’s line-item approach ensures each item—whether floral arrangements, catering trays, or venue rentals—is taxed correctly, reflecting local regulations. In contrast, subtotal tax calculation applies one tax rate to the entire invoice total, which can oversimplify complex tax scenarios.
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• Event services and rentals often face varied tax treatments. For instance, a caterer’s food items might be taxable, while their service fee is exempt. Similarly, a venue’s rental equipment, like tables, could be taxed differently across cities. Line-item calculation ensures each item is taxed accurately, keeping invoices compliant.
• Even in regions with a single tax rate—where items are simply taxable or non-taxable—Curate’s method handles this seamlessly while supporting complexity.
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• Clients, like couples or event planners, value clear invoices. Showing taxes for each line item—such as a taxable vase rental versus a non-taxable floral design fee—makes costs easy to understand. Subtotal tax calculation, however, lumps taxes into one amount, which can confuse clients and obscure clarity.
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• As florists, caterers, or venues take on events across regions, tax rules multiply. Curate’s line-item calculation is the standard in modern invoicing software, adapting to diverse tax rates and rules, perfect for event professionals managing rentals or multi-region clients.

Tax laws change frequently. Local governments might introduce new rates or exemptions—for example, taxing venue equipment rentals to fund local projects while exempting catering for nonprofit events. Even if your region uses a single tax rate today, Curate’s line-item calculation prepares you for these shifts. It adapts to new tax rules without requiring software changes, keeping your invoices compliant and your business efficient.

Subtotal tax calculation is simpler but less flexible. It assumes all items, like catering services or rental decor, share the same tax rate, which doesn’t work when tax treatments vary across localities. This outdated approach struggles with the complexity of modern event invoicing, risking errors and client confusion.

For many event professionals, taxes seem straightforward: items are taxable or not, with one rate. Curate’s line-item tax calculation supports this simplicity while offering flexibility to handle diverse tax scenarios, like varying rules for rental items or catering services. It’s the modern standard for event invoicing—accurate, transparent, and ready for whatever tax changes come next.