Hey! Being new to all of this, am I correct to assume, based on what I’m reading, that no taxes are collected on sales UNLESS we hit the economic nexus for each individual state? And once we hit that nexus does Shopify then notify us and we manually complete the process or does Shopify take care of our state registration on our behalf?
Hi, @loudawg39 . I’m happy to help you out with this!
Shopify doesn’t file or remit your sales taxes for you. If you need to collect sales tax, you would need to set this up on your end to ensure you’re collecting the correct amount. You would also need to register your business with your local or federal tax authority to handle your sales tax if that’s necessary for your business. For the most accurate advice on this I recommend speaking with a local tax professional. You can also find more information on setting up taxes with Shopify here. This guide on US taxes in particular will have helpful information as well.
Please let me know if you have any questions!