Issuing accurate and easy-to-read sales documents is one of the core responsibilities of every online store owner. However, many users report a common issue — an incorrectly displayed VAT rate on the WooCommerce invoice. But, you can fix this easily by configuring tax settings and using the right plugin.
In this article, you’ll learn how to fix VAT rate display issues on WooCommerce invoices using the Invoices for WooCommerce plugin by WP Desk. Moreover, we’ll share a real support case and explain each step that led to the solution. As a result, you’ll discover how a small configuration change can greatly improve your invoice presentation.
Case description – What the Customer reported
One of our customers, reached out to our support team about how WooCommerce displayed tax information on invoices. Instead of showing clear VAT rates such as 5% or 23%, the invoices only used a generic “Tax” label.
Naturally, this caused confusion, especially because the accounting department needed specific VAT labels for compliance. When he used different VAT rates on the same invoice, the document became hard to interpret. Consequently, we needed to act quickly to resolve it.
Why you should customize the VAT rate on WooCommerce Invoice
By default, WooCommerce assigns the word “Tax” to every tax rate. Although this might be fine for some businesses, using more than one rate in an order often leads to confusion.
In fact, many store owners and accountants find the term “Tax” too vague. As a result, they may misread the invoice or waste time clarifying it manually. That’s why it’s important to customize the VAT rate on WooCommerce invoice with clear, specific labels.
How to change the VAT rate on WooCommerce Invoice – Step-by-Step guide
We recommended a simple yet effective solution — renaming the tax rate labels directly in WooCommerce. Once he did that, the plugin started showing the correct names on the invoice automatically.
🔧 Step-by-step: How to rename tax rates in WooCommerce
- Log in to your WordPress dashboard, then go to WooCommerce → Settings → Tax.
- Click the Standard rates tab (or another relevant tab).
- In the Tax name column, enter specific names like:
VAT 23%
5%
0%
- Click Save changes.
From this point on, every new invoice will use the updated tax name. That way, your customers will clearly see the VAT rate on WooCommerce invoice, not a generic label.
Why this solution works
The Invoices for WooCommerce plugin pulls tax information directly from your WooCommerce settings. Therefore, changing the tax name in WooCommerce instantly updates the invoice. You don’t need to modify any templates or code.
In addition, this approach gives you:
- fast setup,
- full flexibility,
- legal compliance.
Importantly, this method works no matter how many VAT rates your store uses. So, if you apply different rates to different products, each will display clearly on the invoice.
Benefits of customizing the VAT rate on WooCommerce Invoice
Update meant several important benefits:
✅ Fast configuration – he completed it in just a few minutes.
✅ Improved clarity – customers now see exact VAT rates, not vague terms.
✅ Better communication with accounting – clear documents save time.
✅ Full legal compliance – invoices meet tax requirements.
Moreover, this solution doesn’t require coding skills. As a result, anyone who manages a WooCommerce store can apply this change quickly.
Summary & final thoughts
This case clearly shows how WooCommerce and the Invoices for WooCommerce plugin give you full control over invoice formatting. What’s more, you don’t need technical skills to implement small but powerful improvements like this.
By customizing your tax settings, you can:
- display the VAT rate on WooCommerce invoice accurately,
- offer customers clearer, more professional invoices,
- make life easier for your accountant,
- and avoid misunderstandings and manual corrections.
If you want better-looking, tax-compliant invoices in WooCommerce, try the Invoices for WooCommerce plugin today. And if you run into any questions, our support team will be happy to help you out.