Destination based sales tax from out of state sales on NON Shopify Plus Stores

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Shopify Staff
Shopify Staff
322 27 51

@dizzlebabe wrote:

Hi @Sophia !

 

I have complained to Shopify support on numerous occasions since October 2019, and I have written a post on this thread, and created my own thread on the topic. Although I was told that my concerns were conveyed to Technical Support, and that "they're working on it," I was never offered what you offered to @Brian_Needels below:

 

I discovered this thread because of the newest replies that were posted, and I wanted to let you know that our Technical Support team might be able to help if you find that Shopify's setup for economic nexus in the United States doesn't work for your store and you either need to:

 

These changes are not exclusive to Shopify Plus. Keep in mind that if you need to treat all states as destination states, you will still need to enter a zip code for each state you need to charge taxes in (this change would just ensure that origin states are treated as destination states instead). If you're still looking for a solution, please let me know and I can send you an email to further discuss your business' tax needs.

I would be elated if Technical Support could customize my taxes in the few states for which I'm having issues. The issues come in for states like Ohio, Virginia, and Arizona to name a few, where, as Brian described, are typically origin-based states, but turn into destination-based states for out-of-state resellers. But Shopify's tax setup can't handle this. Can you please get me in touch with Technical Support for personalized care on setting this up? As it stands right now, I refuse to waste the hours described in this thread to enter thousands of zip codes. I decided to just pick the zip code with the lowest tax rate in the state, and eat the cost for anyone making purchases from a different zip code with a higher tax rate. But that is not even legal in some states, from what I've been told. So I would love some help to set this right.


Hi, @dizzlebabe!

Thank you for expressing your concern here. I know that the South Dakota v. Wayfair, Inc. ruling complicated the way that taxes need to be handled, and I'm happy to let you know that our Technical Support team may be able to help you if you need to add a nexus for every state or treat every state as a destination state. I'll send you an email so that we can take a look into this with the Technical Support team.

Sophia | Social Care @ Shopify
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Shopify Staff
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322 27 51

@blufinance wrote:

I just asked support this week about bulk zip code upload...still not available.


Hi, @blufinance!

Sophia here from Shopify. While it isn't possible to upload a file of zip codes to the Shopify admin's tax settings at this time, our Technical Support team may be able to help if you need to add a nexus for every state or treat every state as a destination state.

 

For your reference, I recommend keeping these resources on hand:

If you've spoken with a tax expert and determined that your business needs to set up economic nexus and that  Shopify's economic nexus settings  don't work for you, let me know and I'd be happy to send you an email so that we can further discuss your business' tax needs.

Sophia | Social Care @ Shopify
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Shopify Staff
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322 27 51

@pcoco714 wrote:

I really hope there will be an update for this issue soon!!!! @shopify


Hi, @pcoco714!

Sophia here from Shopify. I'm happy to let you know that there is an update—if your business needs to add a nexus for every state or treat every state as a destination state, our Technical Support team may be able to help.

 

To clarify, the tax settings in the Shopify admin will allow you to enter a zip code for any physical presence your business has. These settings let your store charge taxes based on the origin state and destination state rules. The South Dakota v. Wayfair, Inc. ruling in June 2018 complicated this, as your online business could now be liable for paying sales tax on orders made in states and counties where you do not have a physical presence but do have an economic presence (or nexus).

 

If you've consulted with a tax expert and determined that Shopify's setup for economic nexus in the United States don't meet your needs, let me know. I would be happy to send you an email to discuss this further with you.

Sophia | Social Care @ Shopify
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How do I set up our economic nexus with tech support help?
I already paid someone to enter hundreds of zip codes for one site but definitely want to avoid this for our second site.
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Shopify Staff
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322 27 51

@blufinance wrote:
How do I set up our economic nexus with tech support help?
I already paid someone to enter hundreds of zip codes for one site but definitely want to avoid this for our second site.


Hi, @blufinance!

Sophia here from Shopify. Can you tell me a bit more about your store's tax requirements?

If you need to treat all states as destination states or add a nexus for every state, our Technical Support team may be able to help. If your sore requires a more customized tax setup, it might be best to use tax overrides and exemptions for the time being, but I'd be happy to submit feedback to the appropriate teams here based on your unique use case.

Sophia | Social Care @ Shopify
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We are treating all states as destination states.
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Shopify Staff
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@blufinance wrote:
We are treating all states as destination states.

Okay. I've sent you an email so that I can authenticate your account and take a look at your store's tax settings. From there, I'll be able to chat with our Technical Support team and let you know whether they're able to adjust the settings for you so that all states are treated as destination states.

Sophia | Social Care @ Shopify
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Hi Sophia - we have the same problem too. We are based in California but have economic nexus in 17 states, including Virginia. Can you have the technical support team help? Thank you,

 

Rose

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Hi, Sophia!  Struggling with the same issue that many others here seem to have encountered - specifically that sales tax isn't calculating correctly in our home state of California (only charging 7.25% when it should be 7.75%, presumably because of a mix of destination and origin based taxes).  Other than pretending we have a physical presence in every single zip code in California (so that it calculates the county taxes correctly), what can we do?

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Shopify Staff
Shopify Staff
322 27 51

@thefoggydog wrote:

Hi Sophia - we have the same problem too. We are based in California but have economic nexus in 17 states, including Virginia. Can you have the technical support team help? Thank you,

 

Rose


Hi, Rose!

The tax settings in your admin will allow you to enter zip codes for each state in which you have an economic nexus. If the issue is that you need to treat all of these states as destination states, our Technical Support team may be able to help. Otherwise, I can submit detailed feedback to the appropriate teams here on your behalf if these solutions don't quite fit your business needs.

Sophia | Social Care @ Shopify
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