our company is located in the EU and (also) sells goods to B2C customers in the UK. We are VAT registered in the UK and have a UK VAT ID.
In order to achieve the best possible customer journey, we pay VAT and customs duties for all orders (smaller and larger than 135 GBP value of goods) to the UK authorities, so that the customer never has to pay import tax and/or customs duties (DDP). The costs are already included in the prices to the end customer.
Unfortunately, we are unable to adjust the Tax Settings on Shopify to show VAT at 20% on orders over 135 GBP as well. Does anyone have a workaround?
Our current settings:
Settings -> Taxes and duties
We tested tax overrides - not working for this issue.
Settings -> Markets -> UK -> "Duties and import taxes: Not collecting duties and import taxes"
So far, we have been working with an external invoicing tool, so it has not been a problem. However, we are switching to a tool that uses Shopify tax data, so we need a solution.