Why isn't Shopify collecting my municipal sales tax anymore?

Why isn't Shopify collecting my municipal sales tax anymore?

SDgirl
Visitor
3 0 0

We just noticed that as of 4/1/24 Shopify is not collecting our municipal (city) tax of 2%. We are still liable for it so we are losing money with every sale. It is collecting our 4% SD state tax. The same problem is happening with a relatives Shopify store in the same town. We has Shopify Tax enabled which was charging us extra but it still wasn't doing it. Everything was fine before 4/1. We didn't change anything in our system. The problem has not been resolved after several attempts with Shopify support. Any ideas?

Replies 6 (6)

BrittanyG
Visitor
2 0 0

No ideas, but the same is happening with me. 

Imogen
Shopify Staff (Retired)
2045 227 408

Hi there, @BrittanyG. Thank you for taking the time to reach out to the Shopify Community Forums!

 

We're unable to authenticate folks here in the Community, so I'm unable to access your store to review your current tax set up. I recommend reaching out to our Authenticated Support Team via our Help Center and AI Assistant to we can get you authenticate and investigate this with you.

Imogen | Social Care @ Shopify 
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ColeA
Visitor
2 0 0

Did you figure this out? I just published my website today and I noticed this on the first transaction with an in store pickup option selected. The customer lives in town, so the 2% municipality tax should apply, totaling 6.2%. It looks like initially that is what it figured and then it reverted to 4.2%.

 

 

Screenshot 2024-11-24 210823.pngScreenshot 2024-11-24 210727.png

SDgirl
Visitor
3 0 0

The only way I was able to collect the correct tax amount was to manually put in the total tax (both state and municipal). It shows on the receipt as SD State tax which is incorrect but at least we are collecting the correct amount. Shopify was of no help. I must have had at least 20 communications from them and they didn't understand the problem. Then they kept saying my products were not "classified" which they were. Good luck.

 

ColeA
Visitor
2 0 0

Yeah I read that the products need to be classified, so I just got done doing that on 8,000 products and it still doesn't work. I will turn of Shopify Tax and do it manually for now and contact support to figure this out. I will update you if I figure anything out. 

SDgirl
Visitor
3 0 0

Thank you Cole. If they are able to help you I would like to know.