Product Pricing under IOSS scheme, and above

Topic summary

Main question: how Shopify handles VAT display and collection when an order exceeds the 150 EUR IOSS threshold.

Context: the merchant has dynamic tax‑inclusive pricing enabled and shows VAT‑inclusive prices on product pages.

Uncertainty: once the cart total goes above 150 EUR, does checkout automatically remove the VAT portion and recalculate, or is a different configuration/customization required?

Request: looking for experiences or solutions from others who have implemented this.

Key unknown: how checkout behavior changes when crossing the IOSS threshold under tax‑inclusive pricing.

Status: no answers or resolution yet; the issue remains open.

Summarized with AI on December 11. AI used: gpt-5.

How does Shopify actually handle VAT display and collection when an order crosses the 150 EUR IOSS threshold? I have dynamic tax-inclusive pricing enabled and show VAT-inclusive prices on product pages, but once a customer’s cart exceeds 150 EUR, I’m unsure what happens at checkout — does Shopify automatically remove the VAT portion and recalculate, or do I need to configure this differently? Has anyone dealt with this or found a solution?

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