How to remove VAT at POS for US customers from a UK business?

[donnabyatt]

Hi 😀

We are a UK business and sometimes sell to US (and other countries, but will stick to US for this example).

We set our sell prices in the UK inclusive of VAT @ 20%

We have noticed that US customers are being charged the full sale price despite us having set up Shopify not to collect taxes (in other words, the VAT is not being taken off at POS)

Does anyone have experience of this and could advise?

Thank you in advance, Donna 

[donnabyatt]

Ok i think i have fixed this by going turning this on under markets

[Rostislav]

You are correct. This is called dynamic taxation. When enabled this option removes local tax (UK ) and adds the destination tax. Since there is not taxation set for US the price will be displayed /charged without UK VAT .