Sales Tax

[TheDandyOne]

Printful is fulfills my orders and is charging me sales tax. How do I charge that sales tax to my Shopify store customer?

[shahrozbabar5]

Hi @TheDandyOne,

To pass the sales tax charged by Printful to your Shopify store customers, you'll need to ensure that your Shopify store is set up to collect sales tax from customers. Here’s how you can do it:

### 1. **Set Up Sales Tax Collection in Shopify**

- **Go to Shopify Admin:**
- Log in to your Shopify admin dashboard.

- **Navigate to Taxes Settings:**
- Go to **Settings** > **Taxes and duties**.

- **Set Up Sales Tax Based on Your Location:**
- Enter the regions where you need to collect sales tax. Shopify will automatically calculate and apply the correct tax rate to orders in those regions.

- **Check Tax Rates:**
- Ensure that the tax rates in Shopify match the rates that Printful charges you. If needed, you can manually adjust the tax rates in Shopify.

- **Enable Tax Collection:**
- Make sure the "Charge taxes on this product" option is checked for all relevant products in your Shopify store. You can enable this by editing your products and checking the box in the product's pricing section.

### 2. **Confirm Tax Settings with Printful**
- **Check Printful Integration:**
- Ensure that your Printful account is properly integrated with your Shopify store. Printful will handle fulfillment, but Shopify needs to collect the appropriate tax from customers.

- **Review Tax Settings in Printful:**
- Log in to your Printful dashboard, and check the tax settings under **Settings** > **Orders** > **Sales tax**.
- Printful may charge sales tax depending on where your customers are located and where Printful has nexus. This can include locations where they have warehouses.

### 3. **Test and Monitor**
- **Place a Test Order:**
- Place a test order from a location where sales tax should be charged, and verify that the sales tax is added to the order total.

- **Monitor Tax Collection:**
- Regularly check your sales tax collection in Shopify to ensure you’re charging the correct amount to cover what Printful charges you.

By setting up sales tax collection in your Shopify store, you can ensure that customers are charged the appropriate tax, which will offset what Printful charges you for order fulfillment.

if you found this helpful, please mark it as a solution

[douglerner]

Can prices automatically adjust so the total price, including tax and shipping, gets rounded to a nice-looking amount for the customer, in the currency they are shopping in?

[shahrozbabar5]

exactly, that's how it works...:)

please mark this answer as a solution, if you found this useful

[douglerner]

I guess I need to somehow get going and open up a shop and try things. I'm still trying to decide whether to open my shop based in Japan or in the U.S. So many combinations to think through.

Thanks.

[shahrozbabar5]

Hi @douglerner, If most of your customers are in Japan, base your shop there for easier logistics and local currency. If your target is the U.S. market, consider opening in the U.S. for better access to that customer base and lower shipping costs. Focus on where your main audience is and where you can operate more efficiently.

[douglerner]

Right. I'm still going back and forth in my mind about which market to concentrate on. I was hoping to drop-ship from each country depending on the availability of the product to minimize shipping costs regardless. Anyway, still thinking. Thanks.

[shahrozbabar5]

Absolutely! I can help you optimize your store for both markets, setting up drop-shipping from each country to minimize shipping costs. Let's create a tailored strategy that ensures seamless operations, whether you're selling in Japan, the U.S., or both. Looking forward to making this work for you!

DM, I'll get this sorted for you...

[douglerner]

I'm not there yet, but I will let you know if I need some assistance. Thanks.