EU -> UK: Show VAT (also) on orders >135 GBP

[JJL_de]

Dear all,

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.

Thank you very much in advance for your input!

[JJL_de]

Nobody any helpful hint? 🙂 *push*

@Gabe Hast Du zufällig einen Lösungsansatz? 🙂

[julie0110]

Hi! Same issue for me and I would really like to know also if there's a solution.

Thanks in advance 

Julie

[JJL_de · Accepted solution]

Dear all,

after a long time, we have finally found a solution that I would like to share with the community.

What does NOT help:
- Tax overrides for the respective country

What does help:
- Settings -> Locations -> Add a new location for the UK
(You do not need to activate the “fulfillment...” function.)

[Makeit]

My sincerest thanks to you @JJL_de (and if you haven't seen this yet @julie0110 )

This is such an odd issue, and believe me, I've discovered an even deeper tax caveat on Shopify when selling in B2B "blended" mode – but that's another story.

I'm really curious about how you came up with this solution – it's not something that's clearly documented, is it?

Once again, THANK YOU!