How to set up your shopify to collect taxes on items sold outside of California?

HHA
New Member
1 0 0

Hello!

I have a ecommerce on shopify that was set up in California.  Californians are charged taxes when pruchasing on my website, but people who live outside of California are not charged taxes.  How do I set up my shopify account to charge taxes to people who live outside of California?  I have no nexus or connection to other states.  I am soley operating my ecommerce in California.  Any help or explanation is very much appreciated.  Thank you in advance!

Reply 1 (1)
Alexa4
Shopify Staff
Shopify Staff
93 1 18

Hey there HHA,

This is Alex from the Shopify Guru team, happy to assist you today!

It sounds like you have your taxes set to be automatically charged by default settings in Shopify. This tends to be the case for most businesses where you are only required to charge taxes in states you have a physical presence in. 

I would highly recommend you contact a tax specialist such as an accountant before you change these settings to charge taxes outside of states you have no physical presence in. If you've already done this and have confirmed that you can/need to do this for your business then the next steps will indicate how to enable taxes for states outside the state you physically operate out of.

Go to Settings > Taxes > click United States > disable ' Calculate taxes automatically' > set tax rates per each State and County > Save.

Best regards!

Alex | Customer Success | Shopify

Alex | Shopify 
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