Financing, tax rates, and accounting
Hi,
I've been looking up this issue all over the internet and shopify, but it seems I am the only one has trouble with this product price displayed on store is not included VAT issue??
The thing is I set my product price in Shopify, for example, £30, and I checked the box of "Charge tax on this product".
Also, in Shopify's settings>taxes, 1) in the tax region section, United Kingdom is showing Collecting/Manage. 2) in the tax calculation section, I also checked "All Price Include Tax". And because my products will also sell to outside the UK, I also checked "Include or exclude tax based on your customer's country" and "Charge tax on shipping rate".
So, in theory, when I finished those setting, I suppose will see, because I am in the UK, the product price on my store will be showing as £36, but it's not! It still shows the price as £30?!!! I cannot figure out why it's not included the VAT?
Because I have more than 100 products, I really don't want to manually add the VAT into all my product price, human error is terrible! Besides, it really makes no sense as it supposes to be system automatically calculating and add the VAT into the product price I'd set, doesn't it?
Seriously need some expert's help here!!! Many thanks!
Solved! Go to the solution
This is an accepted solution.
The price entered is the gross price, not the net.
Shopify do not have a NET price field. It's the final price.
If the TAX box is ticked it will show the TAX element in the checkout but not on the product pages.
Many other carts will show the net and gross price which causes confusion.
You need to enter the price you want for the item - including the tax.
Darren
Hello. Have you made sure that you have put the UK VAT rate at 20% in Settings > Taxes?
Hope this helps,
Celine
Hi @CelineG ,
I think I have. You can see the screen shots below:
1. Collecting VAT in the UK is checked
2. The product price is set to be £25
3. However, the same product on the store is still showing £25 despite in the system all set to collect VAT.
I really don't know why all the product prices in my store are showing without VAT included, despite it says Tax included...., it really makes no sense to me :S
Help needed!!!
Charline
Have you made sure that the little box in the product page under PRICING - "Charge tax on this product" - is ticked?
Celine
To all Shopify Gurus,
I am still looking for solution on how to "actually" show my product price is included VAT!!!
I am not show if it's a system bug or something, I have checked all the necessary tax settings in shopify as show in above screenshots, but for some reasons my product prices displayed on my the storefront are still the net price without VAT despite it says otherwise. It's been really frustration now as it since no one except me encounters this issue?!
I really appreciate some Shopify guru and shed some lights on this bizarre situation!!! Many thanks!
Charline
This is an accepted solution.
The price entered is the gross price, not the net.
Shopify do not have a NET price field. It's the final price.
If the TAX box is ticked it will show the TAX element in the checkout but not on the product pages.
Many other carts will show the net and gross price which causes confusion.
You need to enter the price you want for the item - including the tax.
Darren
If you untick the tax box "All prices include tax"
This will show prices without tax, your theme may have an option to display prices with tax although most don't as it's dependant on location. So a blanket display including doesn't work for a lot of customers.
Many thanks for the help, it makes much more sense now why my product prices displayed on storefront are not included VAT.
I guess it's because those tax settings gave me some illusions that I only needed to set my products in net prices and the system would do the rest based on the settings and countries, apparently I thought too much, lol!
Thanks again for your help and I better get going to revise my price.
Cheers!!
Charline
You're welcome
Shopify was originally designed for a US market with sales taxes based upon states etc.. very different to the UK market.
If you export your products into a CSV, you can then use excel/google sheets to update the price, round up/down and then re-import. It's not a big job.
Just keep the original download separately so you can restore if you make an error.
Darren
Portrait of Stephen positioned next to an image of planet Earth, with the Stephen's World ...
By JasonH Mar 18, 2024Digital marketers and app developers have tracked activity in apps and websites for yea...
By Ollie Mar 13, 2024February was an exciting month with Shopify Editions, informative webinars, and more! F...
By JasonH Mar 7, 2024