canadian store isnt charging tax for any sales from outside of canada

Shopify Discussion
1

I have a canadian based store and all seems well for all canadian based purchases. however, someone placed an order from the states and they were not charged any tax. which means i will have to pay for that tax out of my profits. I have been going around in circles with CS and no one seems to understand my situation. a support agent actually said that the tax will automatically if its a big order (50k +). i believe he’s referring to the economic nexus. another agent said that i havent entered my HST number, but i dont need to have one if im not making more than 30k plus a year (which would be nice). so thats not it. can ANYONE here help me out. I dont want to have to reduce my market to canada only because the system isnt calculating taxes correctly.

2

I understand your frustration with the tax calculation issue in your store and the challenges you’ve faced while seeking assistance from customer support. While I cannot directly resolve the issue for you, I can offer some suggestions that might help you address the problem Photocopier 450 37:

  1. Review your tax settings: Double-check your store’s tax settings to ensure that they are configured correctly. Verify that you have set up the appropriate tax rates for Canadian and US orders. Pay close attention to any settings related to international sales or specific tax rules for different regions.

  2. Consult a tax professional: It might be beneficial to consult a tax professional or an accountant specializing in e-commerce or cross-border transactions. They can provide you with guidance specific to your situation and help you understand any tax obligations or potential issues that may arise when selling to customers outside Canada.

  3. Research e-commerce tax regulations: Take the time to research the tax regulations and requirements for selling internationally, particularly in the US. Familiarize yourself with any economic nexus rules that might apply and determine if your business activities meet the thresholds that trigger tax obligations in different states.

  4. Explore e-commerce platforms and integrations: Consider exploring different e-commerce platforms or integrations that offer more robust tax calculation capabilities, particularly for cross-border transactions. Some platforms may have built-in tax calculation features or integrations with third-party tax calculation services that can help automate and accurately calculate taxes based on the customer’s location.

  5. Escalate the issue with customer support: If you haven’t already, escalate the issue with customer support at your e-commerce platform. Clearly explain the problem, provide examples, and express the impact it is having on your business. Request a thorough investigation into the issue and ask for a resolution or guidance from a higher level of support.

Remember to keep thorough records of your communications with customer support, any changes you make to your tax settings, and any advice or guidance you receive from tax professionals. These records will be valuable for reference and documentation if you need to address any potential tax liabilities or discrepancies in the future.

While I hope these suggestions help point you in the right direction, it’s important to consult with professionals who have expertise in tax regulations and e-commerce to ensure compliance and accurate tax calculations for your business.