I’m needing help clarifying this as Shopify can’t do what I want it to do.
I am a UK seller and my items are included 20% VAT. As example pair of jeans £59.99 taxes are included.
My problem is:
if somebody looks at the jeans from anywhere else non UK they see the price £59.99 but that’s not the price they will pay. At checkout it sees they are non UK so it changes to £49.99 as they do not pay the UK taxes. £49.99 + 20% VAT = £59.99
But I want it to show the non Taxed price before checkout I am losing customers as they think it’s too expensive till they checkout but they need to get to checkout.
Shopify says it can only display prices to everyone Either tax included or non included. Which the non included ones does not work for me as my 80% UK orders are going to get to check out then find out it’s 20% more expensive then first displayed.
Any help or anyone experienced this.
Thank you for getting in touch and for detailing your issue. The issue you've cited has been a common one for sellers in the UK who wished to sell abroad and charge international customers the pre-VAT price, without having products listed as tax-exclusive on their website. It was previously not possible to allow international customers to pay the pre-VAT price without listing prices minus the VAT by default, but recent changes to the platform have now made this possible.
I would recommend checking out our documentation on location-based tax settings, and particularly the section titled "Include or exclude tax based on your customer's country". This section outlines how this setting works:
If you sell internationally, then you can include or exclude taxes in your product prices based on your customer's location. If you enable this setting, then customers in countries or regions such as the United Kingdom see prices inclusive of their local value added tax (VAT), or exclusive of taxes in countries or regions such as the United States, where buyers expect to see taxes added at checkout.
You will see an option to enable this feature in Settings > Taxes, in the "Tax calculations" settings:
In practice, this means that if you sell a product for £20 and include taxes in your prices, a customer in the UK who is required to pay VAT will pay the full £20 price. If you also have a customer in the USA who is not required to pay VAT, then they will pay the pre-tax price of £16.67 (based on a VAT rate of 20%).
As you're selling internationally, you may also wish to considering our international pricing feature which allows merchants more control of their prices when selling to different regions and countries. You can use international pricing to set rounding rules, and if you're on the Shopify plan or above, specific price adjustments.
I hope this has helped answer your question, but please let me know if you have anything else you need assistance with.
Victor | Shopify Social Care