Taxes

Shopify has a built-in tax system that automatically calculates taxes to be charged at checkout depending on the customer’s address and your business location. Shopify uses default sales tax rates but you can override them if necessary. You can also choose whether your product prices should include or exclude taxes. Learn how to set up your rates in the Taxes documentation in our Help center including Tax overrides and exemptions.

Shopify Plus merchants can enable an integration with Avalara AvaTax, a cloud-based sales tax calculation system. Avalara lets you fine-tune tax on your products orders and set tax rules that meet your business’ needs. If you have more complex tax requirements, then review how to set up and integrate Avalara Avatax.

Note: once you have connected Avatax, all orders (excluding test orders) will be synced with Avalara. Connect Avalara after you have imported your legacy order to avoid duplication.