If you own a Shopify store, you need to keep track of your sales taxes. A lot of store owners want to know how to show sales that aren’t taxed in Shopify and make sure that every sale is accurately recorded. Knowing which sales aren’t taxed might help you stay on the right side of the law and make tax season less stressful.
This helpful tutorial makes it easy to understand so you can handle your store’s tax reporting like a pro.
Keynotes
- Shopify allows you to view taxed and non-taxed sales separately.
- Certain products or customers may be exempt from sales tax.
- Accurate reporting helps avoid fines from state authorities.
- Using apps can automate your sales tax calculations.
- Regular review ensures your accounting stays clean and compliant.
How to Show Non Taxed Sales in Shopify
To see sales that aren’t taxed in Shopify, first look at your order reports. Shopify has built-in reporting that lets you sort sales by tax status. You can make a report just for sales that aren’t taxed and send it to your accountant.
- To see reports, go to your Shopify admin and click on Analytics > Reports.
- Choose Sales by Product or Sales by Tax Status.
- Use a filter to find sales that aren’t taxed.
- If you need it for your books or to file with the state, export the report.
For a detailed guide on Shopify order reporting, check out PlugBooks Order Report Guide.
Does Shopify Report Sales Tax to States?
A lot of store owners want to know, “Does Shopify send sales tax to the states?” The short answer is that Shopify collects taxes based on your choices, but it doesn’t automatically send the money to the state. You are in charge of submitting your taxes, but Shopify makes it easier by giving you detailed reports.
You can also read Does Shopify Collect Sales Tax? for more details on Shopify’s tax collection.
Understanding Sales Tax in Shopify
Sales tax can be hard to understand, and people regularly ask questions such, “Do I need to charge sales tax on Shopify?” If your store has a connection to a state where you’re selling things, you usually have to charge sales tax. Shopify lets you set up separate tax standards for different areas, which helps you stay in line.
For more insights on Shopify tax settings, visit Shopify Tax Guide on PlugBooks.
Does Shopify Pay Sales Tax for You?
Shopify makes it easier to collect taxes, but it doesn’t pay them for you. Knowing this difference will help you not forget to pay your state taxes by accident. Reports that indicate non-taxed sales in Shopify might help you find sales that need to be changed or exempted by hand.
Learn how PlugBooks helps with automated tax tracking here: PlugBooks Avalara Shopify Integration.
Best Sales Tax App for Shopify
Sometimes the tools that come with the software aren’t enough. A lot of people who own Shopify stores utilize apps to automatically manage sales tax. A good sales tax tool for Shopify can figure out how much you owe, keep track of it, and even file your taxes for you. Find apps that work with your accounting software and make thorough reports.
For tax automation solutions, see PlugBooks Shopify Integration.
Shopify Non-Taxable Sales Report
A Shopify non-taxable sales report shows you all the sales that didn’t have sales tax added to them. This report can help you balance your books and see which items or customers don’t have to pay taxes. This makes sure that the information is correct and makes it easier to file taxes.
You can explore more about Shopify Accounting with PlugBooks to keep your books in order.
Track Untaxed Orders Shopify
You may also keep an eye on orders that aren’t taxed on Shopify by making custom filters in your reports. This function is quite useful if you sell both taxable and non-taxable goods or if some of your customers don’t have to pay taxes. Keeping stuff in order cuts down on mistakes and saves time during tax season.
Shopify Tax Exemption Report
Some consumers or items may be able to get exemptions. You can see all of your tax-exempt sales in one location with the Shopify tax exemption report. This makes it easier to check that your store is following the tax laws and helps make sure you don’t mistakenly charge too much or too little in taxes.
Check Shopify Revenue Insights on PlugBooks to analyze your overall tax-exempt revenue.
Shopify Sales Tax Summary
A Shopify sales tax report shows how much tax was collected and how much was not. You can use this summary to look for patterns, balance your accounts, and make smart choices about your store’s prices and tax rules.
Shopify Tax-Free Transactions
It’s important to keep track of Shopify tax-free sales so you can report them correctly. Finding tax-free sales, whether because of a client exemption or a product category, helps you stay compliant and makes bookkeeping easier.
Real Experience: Tracking Non-Taxed Sales
One Shopify seller shared that using Shopify’s reporting tools to show non taxed sales in Shopify saved hours of manual work every month. By exporting non-taxed sales reports, they quickly reconciled their accounts and ensured accurate tax filing—reducing errors and audit risks.
How PlugBooks Can Help
At PlugBooks, we help Shopify sellers automate tax reporting and accounting. By syncing your store with QuickBooks or Xero, you can easily track non-taxed sales, generate reports, and stay compliant with state laws. Our clients love the peace of mind that comes with accurate, automated bookkeeping.
Questions and Answers
1. How do I show sales that aren’t taxed in Shopify?
In your Shopify admin, go to Analytics > Reports > Sales by Tax Status to see sales that aren’t taxed. Sort the report by sales that aren’t taxed and send it to your accountant.
2. Does Shopify automatically send sales tax to the states?
No, Shopify collects sales tax based on your choices, but it doesn’t automatically send the money to the state. You are in charge of doing your own taxes.
3. Should I charge sales tax on Shopify?
You only have to charge sales tax if your store is based in the state where you sell your goods. You may set up taxes for each area in Shopify to stay legal.
4. Does Shopify handle sales tax for you?
No. Shopify can figure out and collect taxes, but it won’t pay them for you. You have to send the taxes you collect to your state’s tax office.
5. Which Shopify sales tax app is the best?
The best sales tax software for Shopify does math, keeps track of sales that don’t have to pay taxes, and makes reports. Find apps that work with accounting software like Xero or QuickBooks.
6. Is it possible to keep track of clients who don’t pay taxes in Shopify?
Yes. You can tell Shopify that some customers or items don’t have to pay taxes. You can then make reports in Shopify that indicate sales that weren’t taxed for these transactions.
