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My taxes don't seem to be set up properly, I set it for 10% but people are being charged twice that. What gives?

Last Updated: Dec 14, 2012 01:29PM EST

My taxes don't seem to be set up properly, I set it for 10% but people are being charged twice that. What gives?(Shopify Classic Admin)

To properly set up your taxes you must edit the Sub-Region rates in your Regions & Taxes area of your shop. You will find this inside the Preferences -> Regions & Taxes area of your shop.

The tax rate that is shown on the main Regions & Taxes page applies for the entire region, the Sub-Regions area are the taxes that are applied at state / provincial level. Any values in the Sub-Region area are added to the over-all Region Tax to get your total tax for the customer.

Currently you likely have sub-region taxes configured that are being added to the total for the state in question. You should make the proper adjustments to get the tax rate you are looking for. If you wish to not charge any taxes to customers out side of your state / province, then remove the main Region tax percentage and have only the Sub-Region tax for your state.

My taxes don't seem to be set up properly. I set it for 10%, but people are being charged twice that. What gives? (Shopify 2 Admin)

To properly set up your taxes, first log in to your shop admin and go to Settings > Taxes.

Scroll down to the area entitled "Tax Rates."

The tax rate that is shown on the main Taxes page applies to the entire region. Clicking on the "edit" link next to the tax rate will show you the taxes applied to the sub-regions (taxes at the state or provincial level). Your customer's total tax is a compilation of any tax values in the sub-region's area, plus the overall tax of an order.


 

If your customers seem to be getting charged taxes twice, you likely have the sub-region taxes configured, and they are being added to the total tax for the country in question. You can make adjustments to this to get the tax rate you are looking for. For example, if you don't want to charge any taxes to customers outside of your state/province, then remove the main Region tax percentage, and have only the Sub-Region tax for your state. That way, your customers will be charged only once.

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