I am located in Wisconsin and am required to collect a diifferent rate of sales tax from buyers of each wisconsin county. If I check the option, apply tax, while adding a product, will shopify calculate the tax accordingly? I had to manually enter all the zip codes in my Etsy shop, so I want to make sure I am setting up Shopify right.
Kerstin here from the Shopify Guru Team :)
When your shop is first created, Shopify sets up some default tax rates depending on where you're selling. You can find out more information about this here. As this is done automatically by our platform, there is little you need to worry about with regards to collecting taxes. You can just build your store and sell while we make sure that you collect the correct taxes from your customers.
For a Wisconsin based store for example, the tax settings will look like this with the county tax being adjusted according to zip code:
I hope this helps. If you have any further questions, just reply to this thread or reach out to our support channels via chat, phone, or email.
All the best,