Gift vouchers in WooCommerce: how they differ from coupons and how to set them up
Gift vouchers with a set amount can work well before the holidays and in gift season, but in WooCommerce it is easy to build them on discount coupons and regret it later. Here are the differences and a list of things to think through.
A voucher is not a discount coupon
A discount coupon lowers the cart price by rules: minimum spend, usage limits, excluded products, dates. It is a marketing tool, not a means of payment.
A gift voucher is something the customer has paid for. It has a face value, a balance that goes down with every use, and a history of operations. Treating it like a coupon usually ends with small leftovers "disappearing" or vouchers getting mixed up with promotions.
What a good voucher should do
- A balance that can be spent over several orders, not just once.
- A choice between "for me" and "as a gift", with the recipient details and a message.
- A code issued only after the payment is confirmed, once.
- A PDF file to print or forward.
- Balance reserved when the order is placed and released if the payment fails.
- The unused amount returned when the order is refunded.
- A code field in the cart and on the checkout page, including the block version.
Validity, terms and refunds
The rules of the voucher should be written in your terms or the voucher conditions: validity period, whether money can be refunded, excluded products, no exchange for cash. The more specific, the fewer disputes.
Decide in advance what happens to the balance after the expiry date and whether you allow extending it. A validity period should not be a trap for the customer, because that is both a reputation and a legal risk.
VAT: what to ask your accountant
EU VAT rules distinguish single-purpose vouchers from multi-purpose vouchers, and when the tax becomes due depends on that classification. A voucher for any amount, spendable on a whole shop assortment with different VAT rates, usually falls into the second group.
Confirm this with an accountant or tax adviser before you start selling. A plugin cannot decide for you how the shop should account for a voucher.
How to set up a gift voucher in WooCommerce
The simplest way is a separate "Voucher" product with a variable value, handling of the code at checkout and a place where the customer can see the balance. You can build it with custom code, but then come reservations, refunds, PDF delivery and tests with the block cart.
The MadeIT Vouchers plugin does it out of the box: a voucher product, a choice of recipient, an email with a PDF, a separate code field and a balance with a history of operations. The free plugin from WordPress.org covers all of this; the Pro add-on adds extra PDF designs, editable texts, partial refunds and validity extension.
Checklist before you launch
- You have written voucher terms and a validity period.
- The way VAT is handled has been agreed with your accountant.
- You know how a voucher behaves when an order is refunded.
- A test order went through the whole cycle: purchase, PDF email, partial use of the balance, the remainder.
- You know how to handle a lost or undelivered code.
This guide is informational and is not legal or tax advice.
Frequently asked questions
Can I sell gift vouchers using regular WooCommerce coupons?
Technically yes, but a coupon has no balance and no history of operations. After a partial use you have to issue new coupons by hand, which quickly becomes a burden.
Can a voucher be used across several orders?
Yes, if the solution keeps a balance. The remainder after an order then stays on the voucher.
What happens when an order paid with a voucher is refunded?
The unused part of the payment should go back to the voucher. MadeIT Vouchers does this automatically on a full refund, and on a partial refund the Pro add-on lets you restore the amount you choose.
Does a gift voucher need an expiry date?
There is no single required term, but the conditions of validity should be clearly described in your terms or the voucher conditions.
Gift vouchers with a balance in your shop
MadeIT Vouchers adds a voucher product, a PDF with a code, a balance and refunds of the unused amount to WooCommerce. It is free, and the Pro add-on gives you designs, texts and partial refunds.