Menu item modifiers can have an independent tax rate from the parent menu item tax rate

You can now control the tax rate behavior for menu item modifiers. Modifier tax behavior settings control whether a modifier will:

• Inherit the parent menu item tax rate.

• Be taxed at its own, unique rate.

This change is related to a change announced in May 2025. Part of the change announced in May 2025 is independent tax rates for modifiers. That part of the change is rolling out to all Toast POS locations that are not in the United States now. The part of the change announced in May 2025 that allows overriding the parent menu item tax rate is still in limited release.

For more information about menu item modifier tax rates, see Taxes on modifiers.

Availability 

• First available in Toast POS version 2.96

• Rolling out to all Toast POS locations (not including locations in the United States)

Countries affected 

Canada, Ireland, and the United Kingdom