Does the "Charge tax on this product" checkbox do anything if I haven't set up taxes in my store?

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Tourist
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I haven't set my store up to collect any sales tax. I'm located in Canada and only selling to the US and don't have Nexus of any kind (yet) so don't need to charge tax for now.

 

I haven't set up my store to collect any tax which you can see here

https://screencast.com/t/2AirqoVtX4m

 

But when I click into any variant of any of my products there's a checkbox that says "Charge tax on this product" and they're all checked by default, which you can see here:

 

https://screencast.com/t/uU8zpf5CKc

 

Does me not having tax set up (first screenshot) override the little checkbox? Ie. is that the global setting? Meaning, does that checkbox do nothing if I haven't set my store up to charge taxes?

 

Thanks!

 

 

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Shopify Staff
Shopify Staff
873 90 166

Hey there, @quinnsouther 

 

Bo here from Shopify Support! 

 

That is a really great question, I'm glad you asked! So, as you have noticed, products are set up to automatically charge tax automatically. This is because by default stores ought to be charging tax. As you do not have a nexus in the United States currently you should not be collecting tax. The tax settings in Settings > Taxes do override the product settings. To put it simply - if there are no tax rates set up for the United States and a customer from the United States checks out they will not be charged tax. I hope this explains things for you. 

 

All the Best,

Bo

Bo | Social Care @ Shopify
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Tourist
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Awesome thanks for the response @Bo 

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