Can you set custom VAT rates by zip codes in Shopify?

Can you set custom VAT rates by zip codes in Shopify?

Anna71
Shopify Partner
1 0 0

Hello,

I have a question regarding our tax settings. Is it possible to configure our VAT rates based on zip codes? Specifically, I'd like to set a standard VAT rate for most areas but make an exception for BFPO addresses where VAT should be set to 0%.

Can you please guide me on how to set up this custom tax configuration in our Shopify store?

Thank you!"

Replies 2 (2)

Rostislav
Shopify Partner
202 12 33

HI Anna,

I do not know any working methods in Shopify do it. All tax calculations are based on the delivery country , and for BF postal offices the delivery country is the UK  (from Shopify point of view) while the actual delivery may be to Cyprus or to the side of the planet. The only practical way that might work is to create a parallel item with 0 VAT override and place it along with the normally taxed item, but it is not going  to look nice on the storefront , unless for some reason most of your sales go to BFPO addresses.   

www.easproject.com - the best EU and UK VAT compliance solution.

AnneAlice
Tourist
4 1 0

Hello Anna

To set up your tax settings in Shopify, you'll need to use a special app from the Shopify app store. This app helps you manage taxes in a more detailed way. First, you'll create different tax zones for areas where you want to charge taxes. Then, you'll set the tax rates for each zone. For most places, you'll set a standard VAT rate. After that, you'll need to make an exception for BFPO addresses. This means you'll set the VAT rate to 0% for BFPO addresses. Once you've set up these rules, it's important to test them out. You can place test orders using BFPO addresses to make sure the taxes are calculated correctly. And don't forget to keep an eye on your tax settings to make sure they stay accurate.