I am selling primarily in the UK but branching out to EU and US, and have just registered for VAT.
My problem is, I can’t configure my store to charge taxes the way I want. I sell items with 0, 5 and 20% VAT in the UK, and want prices displayed with those taxes added on in the shopping experience. I probably want the EU equivalent displayed the same way, taxes included. In the US, I want to show taxes added at checkout.
All of this suggests dynamic tax display, but this does not work with tax overrides or HS codes for reduced rate items which are a major part of my sales.
The only option seems to be adding tax at checkout for all markets, which suffers from the “estimated tax” line that suggests I’m ripping customers off because it doesn’t show the actual tax rates (per item) being charged.
Can anyone offer suggestions, custom code for a VAT selector maybe? Thanks to anyone who can help!
Thanks for your quick reply Daniel. Unfortunately I casn’t use “Prices include tax” because that messes up the price for the different markets. An items VAT might be 5% in the UK, 20% EU, 0% US. If I set “price includes tax” for UK, I can’t charge the correct rate for the EU.
Thanks again. It beggars belief that an e-commerce platform can’t handle accurate VAT display natively, this is surely fundamental. Very disappointing.
Are there any recommended apps or code add-ins to handle this?
So, I spoke to support about this. Apparently the solution is to create a Markets→Catalog for each market and manually set the price for each item in each market.
So that is X number of markets x Y number of products manual price setting, when all I want to do is adjust the tax rates for each market.
With the EU, UK and US this means I have 30 markets x 300 product prices to calculate and set individually, that’s 9,000 prices to set manually!! It should be fixed by setting and presenting the correct tax rates.