Re: POS and Shopify Tax in the USA

How can I manage POS and online sales tax calculations separately in the USA?

MountainMadness
Explorer
59 0 74

We just received the email from Shopify regarding POS tax calculation now using Shopify Tax. This is all well and good, until I read that this is going to increase our cost by $200 per month based on our estimated POS sales. Our POS is physically in Idaho where there is no jurisdiction reporting required - only a state sales tax. We need our POS to continue to run using the Basic tax calculation while our online sales need to use the more detailed Shopify Tax calculations for accurate reporting in other states we have nexus in, such as Washington which has 100's of jurisdictions. But the email further states that the tax setting for online and POS have to be the same. At this point I am looking at other sales tax reporting apps to avoid the huge amount of fees that we are now incurring to use Shopify Tax.

Replies 5 (5)

kev911
Excursionist
16 0 12

In the same situation. This clearly seems like a money grab from Shopify. Why would pos and online have to be the same. They should be kept separate. I hope this changes or I will also have to find some third party app for website taxes

mcrawford
Shopify Staff
25 1 6

Currently, there isn't a way to apply Shopify Tax only to a specific sales channel. Tax settings apply across your online and retail shops, ensuring you get the same rate regardless of sales channel. We'll pass along your feedback to the product team. Thanks!

MountainMadness
Explorer
59 0 74

Since Shopify Tax is going to cost us an additional $5,000 per year, we have changed our tax settings back to Basic Tax and are using the Tax Rex app for reporting at a cost of $240 per year. I encourage other shops to do the same.

kev911
Excursionist
16 0 12

Thanks. I’ll have to give that app a test. No way I’m sticking with Shopify tax. Can’t believe they are trying to sneak this into their pos. Should be no reason you can’t separate pos and website. 

MountainMadness
Explorer
59 0 74

TaxRex has been great so far. They've been very responsive to my individual needs (I asked them to include the jurisdiction ID's on the WA report and within a few days it was there). I have used Avalara for Small Business in the past and would absolutely NOT recommend them. I'm glad there are some smaller app developers that are now offering a viable, affordable alternative.