Should I include tax in product prices or add at checkout?

Taylah25
Visitor
1 0 0

Should I add taxes at checkout or include tax in the price of my products? 

Replies 2 (2)

TeemuEAS
Shopify Partner
121 1 22

YES. 

 

Reduce drop rate, improve customer experience, provide single action purchase with no post-purchase requirements, faster deliveries with registrations like IOSS for EU, reduced delivery costs... 

 

So absolutely. 

 

We can help with the compliance part: www.easproject.com 

EAS EU & UK Compliance app is a fully automated European VAT solution for Shopify.

Greta
Shopify Staff
1144 122 147

Hi there, @Taylah25!

 

Great question. I recommend checking out our help document which goes over different factors you will want to consider when deciding whether to include or exclude taxes in the price of your products. One of these factors can include where you're located. In some countries, such as the United Kingdom, you need to include sales tax in the displayed prices for most types of merchandise. 

 

If you sell internationally, then you can include or exclude taxes in your product prices based on your customer's location. If you enable this setting, then customers in countries or regions such as the United Kingdom see prices inclusive of their local value added tax (VAT), or exclusive of taxes in countries or regions such as the United States, where buyers expect to see taxes added at checkout. To enable this setting, you can follow these steps:

 

  1. In your Shopify admin, go to Settings > Taxes and duties.
  2. Check Include or exclude tax based on your customer's country.

 

Are you new to Shopify? Do you know what products you'll be selling? If you tell me more about your store I'd be happy to share some resources and advice.

 

I hope this information helps, and please let me know if there's anything else I can help you out with! 

Greta | Shopify 
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