Accidentally charged sales tax

Moxiebymarii
New Member
3 0 0

I just realized yesterday that I was accidentally charging sales tax for out of my state where I don’t yet have nexus. How do I go about refunding this for customers? And once refunded will it show that sales tax has been refunded? 

Replies 3 (3)
Trevor
Community Moderator
Community Moderator
3210 432 736

@Moxiebymarii 

Refunds need to be manually processed one by one as they can't be done in bulk. When processing the refund, you'll type in the amount for the refund. You can then enter a reason for the refund and send a notification to the customer. 

14-36-78743-90458

 

It will not show that the refund tax specific outside of the note you've made in the reason box. You'll want to manually adjust your books to account for the refunds you've made. 

Trevor | Community Moderator @ Shopify 
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Moxiebymarii
New Member
3 0 0
What do you recommend for customers that paid with PayPal but it’s over the
time limit for refunds? It only allows for 120 days.
Trevor
Community Moderator
Community Moderator
3210 432 736

@Moxiebymarii 

You may not be able to refund your customers in that case. I would recommend contacting an accountant to determine the implications of having charged taxes in a region you weren't supposed to. 

Trevor | Community Moderator @ Shopify 
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 - Was your question answered? Mark it as an Accepted Solution
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