How do I set up taxes for my UK-based dropshipping store?

Shopify Discussion
1

Hi Everyone, I’m looking to see if there is anyone on here who is UK based and has a shopify store registered as a UK business.

I have created a store and looking to start drop shipping soon, but in regards to taxes etc I’m really confused. If I’m in the UK and selling to customers who are both in the UK and other countries worldwide, what tax do I charge? How do I set this up?

I have looked everywhere and all I keep hearing is that you need to speak to the local tax accountant in your area, I’ve also tried to figure this out from

shopifys help page but it’s not very helpful.

Can someone who is based in the UK please provide a basic answer to this, if it’s best to register as a limited company, and how to set up taxes etc.

I’m starting to get frustrated with it as no one can provide a basic answer, please help.

Thanks

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Hi i don’t know alot about this but in the settings there is a Taxes section where you have to enter the Tax Rates for each country. But i’m not sure how this works as if your a UK registered company but dropshipping from china say to France then you would need to know the tax rate for France. Here we have VAT and Import Tax on certain items, As far as i can tell Import tax is not on everything and can also depend on the Cost the customer has paid including Shipping.

the last thing you need is a tax bill, I know Most of Alliexpress add the tax onto the sale at checkout for the UK so this is automatically paid to the UK. I don’t know about other countries. You need to take this into account on your pricing.

Sorry i couldn’t be of any more help.

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