Financing, tax rates, and accounting
Example:
$45.71 USD was captured using a Mastercard ending in *990.
5:43 PM
$45.71 USD was authorized using a Mastercard ending in *990.
5:43 PM
Authorization was voided using a Mastercard ending in *990.
5:43 PM
Tax amount was updated from $2.61 USD to $3.69 USD.
5:43 PM
$44.63 USD was authorized using a Mastercard ending in 6990.
NOTE IT APPEARS THE ORIGINAL AUTHORIZATION FOR $44.63 WAS VOIDED BECAUSE THE TAX AMOUNT WAS UPDATED. THIS SEEMS TO BE AN ISSUE WITH "SHOPIFY TAX".
IT'S NOT CALCULATING THE CORRECT SALES TAX FOR ORDERS BEFORE PUTTING THROUGH THE CARD AUTHORIZATION, SO IT'S AUTHORIZING, THEN CALCULATING TAX, THEN HAVING TO RE-AUTHORIZE THE CARD.
MY CUSTOMERS AREN'T HAPPY AS THIS TYPICALLY MEANS THE ORIGINAL AUTHORIZATION HOLDS THEIR FUNDS UNTIL IT EXPIRES (SOMETIMES DAYS LATER) OR GIVES THEM ALERTS THAT THEIR CARD IS BEING AUTHORIZED MULTIPLE TIMES, WHICH MAKES THEM ASK ME IF WE "CHARGED THEM TWICE", GENERATING THE NEED FOR ME TO EMAIL THEM BACK TO RE-ASSURE THEM.
Then when the order imports to our Sellercloud system, it shows the order as overpaid since Shopify submitted 3 separate payments for the order.
Is anyone else having customers complain about this?
I too am seeing this issue. Two customers today complaining about double authorization for slightly different amounts. What changed with the sales tax calculation that it cant figuure it out correctly prior to authorizing a customers card correctly? What is going on here Shopify?
I can’t believe this is still an issue and that there is no solution. I was using Shopify tax and then upgraded to plus and used avalara. That took care of the problem but of course you have to pay extra for that service. Now I am looking at downgrading from plus and I will also lose the ability to use avalara. It doesn’t look like Shopify tax has figured out how to eliminate multiple authorizations. I am dreading downgrading but everything is just get more expensive so we kind of have no choice. Shopify please understand and fix this issue!!!
You can use Avalara when you're not on Plus. We were and then upgraded to Plus and then downgraded again.
I just don't want to use Avalara anymore. Our account manager was not helpful. I had various questions that required more insight than their website. He wouldn't provide it. Just a link to something I've already looked at.
Anyways this is an issue, and I just had a customer get a bit upset. Total of two pending and one actual charge for one transaction.
It makes us look sketchy.
After looking at all the older customer complaints, this issue seems to be isolated to only our CA sales (which also happen to be our largest customer base...)
Because CA is a hybrid state, there are different tax rates depending on whether the customer is in the same district as us. For some reason, by selecting Hybrid as the sales tax setting, Shopify had trouble calculating the correct sales tax for customers outside our district. Prior to selecting "hybrid" for CA tax collecting, we were collecting the correct amount to sales outside our district. But when we turned on hybrid, it wouldn't calculate it correctly anymore and had to do multiple authorizations.
Maybe it won't be an issue when we move out of CA and don't have that obligation to collect within our district. Just sharing our findings and hope Shopify can fix it.
I'm having this exact issue for my state sales tax here in Maine. My customers are NOT happy, nor are their banks. Are there any Shopify tax apps that fix this that don't require Shopify Plus?
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