What countries can I enter tax overrides?

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Topic summary

Tax collection depends on where the business has tax obligations, not simply all countries it ships to. Shopify support advises checking Settings > Taxes to see which countries are enabled and notes that merchants often collect sales tax mainly in the country where they are based.

Key points raised:

  • A US-based seller asked which countries require tax collection when shipping from the US.
  • Support said US taxes can be set to calculate automatically if only charging in the United States, based on registration status and shipping origin/destination.
  • For international sales, customers may also owe duties and import taxes on delivery.

A Canada-based seller then asked about dropshipping to the US, UK, Canada, and Australia, and whether tax must be collected in customer countries or only in Canada. They also asked whether they must register for tax in other Canadian provinces beyond Alberta’s 5% tax.

No definitive tax ruling was given. The outcome remains open: Shopify repeatedly recommends consulting a local tax professional because tax laws differ by country and province, while also pointing to Shopify’s general tax and Canadian tax setup guides.

Summarized with AI on March 6. AI used: gpt-5.4.
2

Hi, @NineAmulets !

Julie here from Shopify Support.

If you aren’t sure which countries you should be charging taxes in, it’s strongly recommended that you check in with a local tax expert. Since tax laws vary depending on where you’re located, a local tax expert will be best equipped to handle any tax-related queries you may have.

That being said, merchants typically only collect sales tax in the countries they’re based out of. It’s also important to note that you will only be charging taxes in countries that you’ve added in your tax settings, which can be accessed in Settings > Taxes. From there, you’ll see a list of countries and whether or not you’re charging taxes in them.

If you decide to only charge taxes in the United States, then you can choose to have taxes calculate automatically. The tax rates customers are charged will be based on whether you’re registered to collect tax, and where you ship from and ship to. We have some information on how to set up US taxes here.

Since you’ll be selling internationally, your customers may be responsible for additional duties and import taxes when they receive their shipments. As a business owner, there are a couple of ways you can handle this. We actually have some information on collecting international duties and import taxes here.

Nonetheless, I highly recommend getting in touch with a local tax expert should you still have questions around taxes and duties.

I hope this helps!