When enabled, ReCharge will charge taxes on all applicable orders processed for your store. There may be times when you're faced with unique tax situations for either your products or customers. You can mark products and customers as tax-exempt within ReCharge to avoid charging taxes on all orders.
You can set certain products and customers as tax-exempt in ReCharge to prevent taxes from being charged in specific cases.
Setting a product as tax-exempt
You can set a tax-exemption for individual products by turning off the tax setting on the product in Shopify. Ensure that the Run a check to see if all products are taxable setting in Settings > Taxes is enabled in your ReCharge Dashboard.
Marking a customer as tax-exempt
ReCharge has a feature in beta that will set tax exemptions on a per-customer basis.
Step 1 - Enroll in the beta feature
To enroll in the customer tax exemption open beta, please send a message to the ReCharge support team.
Step 2 - Mark the customer as tax-exempt
Once you’re enrolled in the beta, you have the ability to mark individual customers as tax-exempt. You will find a new option on the customer profile page:
- Select Customers in the ReCharge Dashboard.
- Search for the customer you want to mark as tax-exempt, then drill down into their details by clicking on their name.
- Click on See details next to the order ID number underneath the customer’s name.
- Scroll down and click on Additional Info & Settings.
- Click on the toggle slider to the right of Tax exempt.
- Click Confirm on the popup. ReCharge will process the request and mark the customer as exempt.
At this time, ReCharge does not work with the Shopify tax override feature. If you use tax overrides in Shopify, they will not be reflected in ReCharge.
ReCharge also integrates with Avalara to offer more robust tax offerings, like per product tax rates.