Tax is being Removed when Customer is added

[sparklewcupsy]

I am creating a draft for customers. Tax is toggled for all items. Customer isn't toggled as exempt. I add items to the order and total shows the tax correctly. When I add the customer to the order the total adjusts and removes the tax?? 

I have tried completely deleting the customer and recreated them. It didn't fix anything. This has happened with two customers. I created a different order and customer and hers worked fine. 

[sparklewcupsy]

Happened again new customer created order/invoice. Added the customer only for the tax to go to $0?!

[Nick]

Hi @sparklewcupsy,

Nick here from Shopify. 

This does sound very strange. Just to clarify, this only happens when you create a draft order and then add the customer to the order? If so, a draft order should include the taxes based on your store settings and the customers shipping address as stated in the Shopify help document about this below. 

You can see the full help document from here. 

Is this still happening for you? If it is an ongoing issue, it's difficult to see why this might be happening without taking a closer look. If you would like I could reach out to you directly about this to dig a little deeper as to why this might be happening. Let me know. 🙂

All the best, Nick

[sparklewcupsy · Accepted solution]

I was able to figure it out. I had my local tax turned on, but anyone outside of the area wasn't being taxed. I figured out how to add a tax to all areas. I think I had it set to automatic tax which wasn't working for my particular situation. 

[Nick]

Great to hear you figured this out @sparklewcupsy, thanks for sharing your solution with the community upon finding it.

Hopefully, it will help other's in the community if they run into similar situations. 

P.S. I saw your post was in the POS topic within the community. I was thinking it might be more appropriate within the tax section and will move it there if that's ok with you. 

[UnSouthernBelle]

I am having this same problem. I have checked all of my tax settings and cannot figure out any issues.  If the customer doesn't have a shipping address or billing address, it won't charge any tax when I add them to the order.

[Nick]

Hi @UnSouthernBelle,

Similar to the scenario above, could you double-check if it is only your local tax on? If it is, you might need to alter and add some other tax details. Can I also ask what country you are based in? It might be easier to help give tips and direction as the tax set up for each country is different. You can see the tax guide Shopify has in general here. 

[Mangoprint]

I've noticed that if the Region field isn't filled in on the client then it doesn't add Tax. Please fix this, it is important.

[Mangoprint]

Is it possible to set the billing address "region" as required?

[Nick]

Hi @Mangoprint,

There are only a few different form options you can set to be required in the checkout. I took a screenshot from my test store to show you what they are below:

Admin > Settings > Checkout > Form Options

Shopify has a guide for this which you can see here also. There isn't one that mentions the billing address "region" directly. Could any of the above be what you're looking for? 

[DeliaDao]

I saw this was an issue from 2019 but I'm having this exact issue today when trying to bill a customer for a custom item I made for them. 

My situation is exactly the same:  when I start the order taxes appear to be added, but once I add the customer information on the right then the tax doesn't get applied and when I click on the "tax" line it pops open to give me the option, but it won't let me apply.  I'm not shipping this item to them - I will be hand delivering it.  When my orders come in for me through my Shopify online store the tax is being collected properly so I know I have the tax set up for that correctly.  I live in Texas and I am selling this to a Texas customer.  Very frustrated. Any solution in 2021 for me to see how to do this step by step?

[Nick]

Hi @DeliaDao,

This is strange for sure. Without taking a closer look at the tax settings of your store it's very difficult to figure out why this might be happening. This is something which you would need to reach out to our support team about who can assign it to the right team to look into. We’re not able to provide account-specific support via the Shopify Community at this time, we’d be happy to continue assisting you through live chat, email, or callback. Please visit our support team here and log in to your account to create a support request. Once you are talking to a support advisor and verified your account they can assist you with this. 

It could also be worth double-checking and going over your tax settings as per the help guides here too to make sure everything is correct!

[miragemetals]

I am having this issue as well. It does not seem to be setting-related. Unless I enter a specific address or zip code, it will not charge taxes on draft orders. This is problematic when sending customers invoices for products that will not be shipped (will be picked up or delivered). Even if I add the city to the customer's account, it seems to need at least a zip code.

[Nick]

Hi @miragemetals,

It's very difficult to find out why this might be happening without taking a closer look at the settings in your admin. It could be a multitude of reasons as to why it could be happening. This is something we'd need to access your account in order to resolve. We’re not able to provide account-specific support via the Shopify Community at this time, we’d be happy to continue assisting you through live chat, email, or callback. Please visit our support team here and log in to your account to create a support request.

[shellyscott]

Can you detail how you turned on tax for all areas ?? I am having this same problem. It was on there when I sent the invoice, but then when they paid it, it didn't charge them tax..... hum.... can you help.

[Nick]

Hi @shellyscott,

Depending on where you're based it is a little bit different. Shopify has a guide for how to set up taxes for all regions here. Could the order have come from a different country or area where tax is different by any chance? 

[WarfelDesignCo]

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@sparklewcupsy wrote:

I was able to figure it out. I had my local tax turned on, but anyone outside of the area wasn't being taxed. I figured out how to add a tax to all areas. I think I had it set to automatic tax which wasn't working for my particular situation. 

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How do I turn off local tax? I'm having the same issues. I can't figure it out. 🙁

[Kissmypolish]

I'm having this same issue. Where do I go to check this at to see about the local tax thing? I've looked under taxes and duties and can't find anything. 

[Elias]

Hey, @Kissmypolish.

Thank you for joining the thread.

If you're using Location-based tax settings or Registration-based tax settings, then it's possible that the customer isn't located in a region for you to collect sales tax. This can be more common for customers from a different country, state, or province. However, as we're unable to provide tax advice due to the varying regulations between regions, we'd recommend consulting with a local tax advisor instead.

That being said, if you believe there's a mistake with the settings, then it looks like we'll need to access your account in order to get a closer look at the issue. While we're unable to provide account-specific support via the Shopify Community, we'd be happy to continue assisting you through live chats. Please visit the Shopify Help Center and login to your account to create a support request. 

[letshangnow]

Hi Elias and everyone else encountering this problem.

Since I see you are Shopify staff here, I would like to flag that this is NOT solved. After following all of the proposed solutions that this thread provided, nothing works. 

I had a chat with a Shopify support advisor and they confirmed that its a known limitation within draft orders where taxes aren't adjusted correctly. If you can help scale this for a feature improvement, it would be great.

 

[giugiuskincare]

same thing is happening to me. Taxes are being removed when adding the client to my draft orders 

tsk

[melabb]

I am also having this problem now 😞 The taxes show until I add the customer from our database. It's 2 customers who have been taxed before when ordering from our shop (where I didn't have to create an invoice).