Financing, tax rates, and accounting
I am new on Shopify and at the moment I try to see how everything is working.
I done one order for me to see how much profit I can do and how many taxes I need to pay.
From what I notice, I paid 20% taxes on Aliexpress
The product cost on my shopify store £14.99
I have confirmation on my order, "£14.46 GBP (-3.53% tax) was added to your payout."
In my personal account I received just £13.71 (-8.6% from the product price)
I`m doing something wrong?
I mention, at the moment I don`t have any VAT set up.
I'm Miles from the Social Care team at Shopify. You'll be able to see a breakdown of your payout in Settings > Payments.
This breakdown will show you how we've worked out the amount you're paid. Some of the fees that can be added include conversion fees (if the payment from the customer was in a different currency to that of your payout) and processing fees. It's important to note, we don't deduct your taxes for you. Whether you charge tax to customers or not is up to you and we won't charge you either way. Taxes are paid to your local tax authority at the end of the financial year and you will need to make sure you've saved enough to pay that to them.
If you need help with taxes and how to set them up you can check out our extensive guide on taxes. We also have a guide on EU taxes that will be great for you to check out. Whilst we are not able to provide tax advice to you, these guides will assist you in setting them up.
We're here 24/7 to help out, so please let me know if you have any follow-up questions.
Miles | Social Care @ Shopify
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Thank you very much.
Really helpful for me.
When a client make a payment, I pay fees but if he decide to request a refund, I don`t pay fees for refund but I don't get my fees back from the original purchase.
This situation was my payout issue and I just need to fully understand.
Thank you for your help
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