Question about tax regulations when dropshipping to different countries

Shopify Discussion
1

Dear Shopify Team,

I am a beginner dropshipper from Morocco, and I am interested in dropshipping products to customers in Canada, Australia, the UK, Morocco, and the US via AliExpress in China. I have a question regarding tax regulations that I would like to clarify.

As I understand, when the product arrives at customs, the customer is charged tax. However, I am unsure whether I also have to charge the customer tax at the time of the sale. I am worried that this could result in the customer being double charged tax, which would create an unpleasant experience for them.

Could you please provide me with more information on this matter? If I do need to charge the customer tax at the time of sale, how can I ensure that the customer is not double charged when the product arrives at customs? And what should I do to avoid any potential issues related to tax regulations when dropshipping products from China to these countries?

I would appreciate any guidance or advice you could offer me on this issue. Thank you for your time and assistance.

Best regards,

2

In general the buyer is on the hook for duties, the specifics can vary wildly.

Example under $800 in goods to the USA shouldn’t have no duties.

You as a business have your own separate tax compliance.

Between the the two is a ton of confusion.

For shopify basics on the matter start here https://help.shopify.com/en/manual/markets/duties-and-import-taxes

The reality is taxes are a legal matter, discuss it here sure maybe , but for actual solutions you need to talk to a certified professional for your region.

If your doing serious business do not muck about with international tax compliance, or legal liability, using answers from random people on a forum.

Forums are better for figuring out settings, clarifying admin usage, discussing what certified pros do say, and doing a public good by documenting the day to realities a business needs to deal with, etc etc. But forum posters they cannot protect a business if causes a problem for the businesses legal responsibilities.