Shopify don't give me the right VAT rates

LucasMondon
Tourist
15 0 1

Hello, I don't know what's going on, but Shopify gives me around 16-17% for FR VAT (while it's 20%), and much lower for others EU VATs.

For example on the order page, I put the taxes are included in the price in the options and there Shopify marks 18.99 euros (18.99 / 113.93 or 16.66%), but it should be 22.786 euros (113.93 * 0.2 or 22,789)

tva bizarre 2.JPG

Another example, on my tax report for the current month, I have 60.25 euros in FR VAT (for information, I made 360 ​​euros sales figures), or 360 * 0.2 should give me 72 euros, but Shopify marks me 60.25 euros which gives me a French VAT rate of only 16.7%, however Shopify marks me the correct rate in the "rate" column.

tva bizarre 1.JPG

 

 

Thanks for your help

Replies 2 (2)
BeProfit_App
Shopify Partner
72 1 4

Hi @LucasMondon - while I can't lend any advice on how to correct these miscalculations directly in Shopify, I can point you towards BeProfit Profit Tracker which you can use as a workaround solution.

After syncing with your Shopify store, BeProfit will show the same data that Shopify shows by default, but you can then easily edit any segment of your data (including taxes) in order to create and maintain accurate records.

With the bulk update feature, you quickly export your data, correct it, and upload it to make sure your tax records are showing correctly. You can do that as often as you want, and it will only take a few clicks of the mouse to get it done.

Plus, BeProfit lets you:

  • Track your profit history over time
  • Get intuitive visuals and graphs
  • Understand complex business metrics
  • Connect metrics once with smart integrations
  • Spot what factors need improvement to increase profits
  • Make data-driven decisions to optimize your store


Try BeProfit and let us know if you find it helpful. Plus, if you have any suggestions on how we can improve the app, we're always happy to get feedback!

Victor
Shopify Staff
1166 105 261

Hi @LucasMondon,

I think what you are doing here is calculating 20% of the total cost and are then receiving an incorrect figure. If you have listed the tax-inclusive price as €113.93, then you need to work backwards to calculate the correct amount of VAT.

We can see from the screenshot you have shared that €18.99 of the €113.93 figure is VAT, giving us a pre-tax price of €94.94 (113.93 - 18.99 = 94.94). If we take that pre-tax price of €94.94 add on 20%, we are given the tax-inclusive cost of €113.93. This is calculated by multiplying 94.94 by 1.2, which gives us a total of 113.928.

You can work this out by using an online VAT calculator such as this one:

19-56-28097-37620

Again, with the tax report you've cited, if we use the calculator we can see that with €360 worth of tax-inclusive sales, only €60 of that is VAT:

19-59-38387-55057

I hope this explains things but please let me know if you have further questions.

 

 

 

Victor | Social Care @ Shopify 
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