Charge taxes on shipping rates in Shopify

In some countries, it is required that you charge taxes on shipping and handling. In some cases, taxes need to be charged and displayed on invoices separately even if the shipping cost is a part of the price of the product.

This applies to some of the US federal states and some other countries such as India or Singapore.

To set your shipping as taxable:

  1. Go to the page SettingsTaxes in your Shopify store admin. 
  2. Check the Charge taxes on shipping rates checkbox.

Charge tax on shipping rates in Shopify

Caution

Please be aware that if you make any changes in tax settings in your Shopify admin, only your newly created orders and invoices will reflect this change. Your existing invoices will remain unchanged.