Top 10 Shopify Tax Apps Free & Premium in 2024

Do you ever feel overwhelmed by the complexities of sales tax when running your Shopify store? This is where Shopify tax apps can help.

Top 10 Shopify tax apps can automate tax calculations and free up time to focus on what matters most: growing your business.

How Tax Management Can Save Your Time?

Organization and Record-Keeping

Proper tax management involves organizing your financial records throughout the year. When everything is kept in order and up-to-date, you can ensure that you have the receipts you need, invoices, and other necessary documents when tax season arrives.

Preparation for Tax Filing

When tax time comes, having organized records to prepare your tax return would be much faster and more efficient. You (or your tax preparer) can quickly compile the necessary information, calculate deductions, and ensure accuracy without the stress of missing documents or information.

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Quick Comparisons of Top Shopify Tax Apps

Best 10 Shopify Tax Apps

1. Zonos Duty and Tax

Zonos simplifies international e-commerce by collecting duty and tax at checkout with guaranteed landed cost calculations. Its tax functions can help your business in managing international e-commerce without errors.

Key Features

• Streamlined Operations: Zonos handles duty and tax payments, eliminating the need for sellers to reconcile carrier bills.
• VAT Simplification: It remits VAT on behalf of sellers, removing the hassle of IOSS registration or obtaining a UK VAT ID.
• Enhanced Customer Experience: By allowing upfront payment of duties and taxes, Zonos reduces abandoned carts and package rejections, improving overall customer satisfaction.
• Cost Efficiency: Users can connect their carrier accounts to manage shipping rates and benefit from significant import fee discounts with major carriers like UPS, DHL, and FedEx (up to 50% off advancement fees).
• Compliance Made Easy: It enables sellers to create compliant cross-border labels with pre-filled customs paperwork effortlessly.

Pros & Cons

Price

• Standard: $2,500/year
• Premium: $4,000/year

Rating

4.9/5 (163 reviews)

2. EAS EU & UK Compliance

Selling across borders can be exciting, but navigating complex VAT regulations can be a major roadblock. Enter EAS - an all-in-one solution that automates EU and UK VAT compliance. Is EAS the key to unlocking your European sales potential? This review will help you decide!

Key Features

• Automated VAT Compliance: EAS automates IOSS, OSS, and UK VAT processes, ensuring seamless tax management.
• Multi-Channel Adaptability: It supports multi-currencies, multi-channel sales, and multi-warehousing setups.
• Effortless Onboarding: Quickly onboard with VAT liability mapping and setup completed in hours.
• Tailored for Shopify: EAS configures Shopify stores for European sales across all plans.

Pros & Cons

Price

• Starter: €9.90/month
• Basic: 79/month
• Plus: 329/month

• Starter: €9.90/month
• Basic: €79/month
• Plus: €329/month

• Starter: €9.90/month
• Basic: €69/month
• Plus: €399/month

• Starter: 6.8% Transaction fee
• Basic: 4.9% Transaction fee
• Plus: 2.9% Transaction fee

Rating

4.9/5 (55 reviews)

3. Exemptify

Exemptify is an advanced solution that validates EU VAT IDs in real time and adjusts prices based on customer location. This tool simplifies international sales by ensuring accurate taxation and customer transparency during checkout.

Key Features

• Real-Time VAT Validation: Exemptify instantly verifies EU VAT IDs and automatically deducts VAT.
• Location-Based Pricing: It displays accurate prices according to the customer's location.
• Shopify Integration: Easily add VAT IDs via Shopify Admin and integrate validation directly into Shopify Plus store checkouts.
• EU Regulations Compliance: The app ensures the immediate application of relevant tax rates to new EU distance sales regulations.

Pros & Cons

Price

• Standard: $4.99/month

Rating

4.1/5 (49 reviews)

4. Tax Rex ‑ Sales Tax Automation

Tax Rex simplifies tax compliance with its seamless all-in-one solution. This review helps you understand Tax Rex's key features and explores its potential benefits as well as drawbacks for your business.

Key Features

• Timely Autofile: TaxRex ensures on-time tax return filings to free time for strategic business activities.
• Accurate Tax Reports: It generates precise sales tax reports tailored to meet state-specific requirements.
• Economic Nexus Alerts: Businesses stay informed about new state nexus thresholds and ensure proactive compliance.
• Effortless State Registration: TaxRex simplifies registering in new US states.
• Marketplace Order Management: It allows the exclusion of orders imported from marketplaces like Amazon and eBay.

Pros & Cons

Price

• Startup: $5/month
• Growth: $10/month
• Advanced: $20/month

Rating

5/5 (45 reviews)

5. Sidr ‑ Sales Tax Automation

Sidr Tax is a US-based, fully managed sales tax solution that automates business tax compliance. It offers a process for generating US sales tax reports and automatically filing them with state websites to ensure compliance management from start to finish.

Key Features

• Autofile: Sidr Tax fully automates sales tax filing, ensuring businesses always meet their filing deadlines.
• Economic Nexus Dashboard: Businesses can track nexus requirements accurately, knowing precisely when tax collection obligations start.
• Accurate Tax Reports: Sidr Tax provides up-to-date and export-ready sales tax calculations, ensuring compliance with state regulations.
• Registration: Sidr Tax handles sales tax permit registration appropriately.
• Chat Support: Customers can receive timely support via chat for any questions or issues.

Pros & Cons

Price

• Starter: $19/month
• Growth: $39/month
• Enterprise: $89/month

Rating

5/5 (36 reviews)

6. Extendons VAT Dual Pricing

Extendons VAT Dual Pricing eliminates product price confusion for B2B and B2C users by displaying dual prices that include and exclude VAT. This helps clarify tax deductions and rates, which allows businesses and customers to navigate pricing transparency.

Key Features

• Display Dual VAT Pricing: App Dual Price displays both VAT-included and VAT-excluded prices, providing clarity on product pricing.
• Customizable VAT Display: Users can personalize the display of dual prices, adjusting the color, style, position, size ratio, and labels to fit their store's branding.
• VAT Tax Rate Display: This displays VAT tax rates as a percentage or a fixed amount, enhancing transparency for customers.
• Page-specific Display: Dual prices are visible on home, catalog, product, and search result pages, ensuring consistent pricing clarity across the site.
• Customizable Restrictions: Users can restrict VAT pricing display to specific products, collections, or countries as needed.

Pros & Cons

Price

• Basic: $5.99/month
• Standard: $6.99/month
• Advance: $7.99/month
• Plus: $14.99/month

Rating

4.8/5 (23 reviews)

7. F: B2B VAT: Display Dual Price

The B2B VAT App is a solution for businesses looking to simultaneously display VAT-inclusive and VAT-exclusive prices for both B2B and B2C customers. It integrates EU VAT ID validation through VIES to ensure compliance with European tax regulations.

Key Features

• Display Dual VAT Prices: The app displays both VAT-inclusive and VAT-exclusive prices for products and collections.
• Customize Tax Display: Users can customize the color, size, and format of tax display text for products.
• Validate EU VAT ID: Validate EU VAT IDs for B2B or B2C customers within Europe using VIES.
• Enable Tax Display: Users can enable or disable tax displays for B2B and tax-exempt wholesale pricing stores.
• Show Dual Pricing: The cart page shows dual VAT prices based on configured tax rules, including country-specific settings.
• Translate VAT Text: VAT text into various languages (e.g., BTW, TVA, MwSt, IVA) based on GDPR and EU country requirements.

Pros & Cons

Price

• Basic: $19/month
• Pro: $29/month
• Premium: $49/month
• Plus: $79/month

Rating

4.6/5 (19 reviews)

8. T‑Selector (VAT Switcher)

The Gross & Net Price Solution provides a versatile tool for e-commerce stores to display prices either including or excluding VAT/TAX. It supports multiple VAT rates and is tailored for Shopify markets to help flexibility and ease of use.

Key Features

• Gross & Net Switcher for B2B-Shops: The app allows businesses to display prices with or without VAT/TAX, accommodating both B2B and B2C preferences.
• Pricing Option Selection: Users can choose their preferred pricing display method using either the Pop-up upon site entry or a Header Switcher for convenient access.
• Google-Compatible Dual Pricing: It ensures compliance with Google's guidelines by showing one price at a time, enhancing SEO compatibility.
• Multilingual Support: This feature enables translation and configuration of multiple VAT/Tax rates for various countries, facilitating international sales.
• Pre-launch Installation: The app is implemented on a duplicated theme, ensuring functionality is tested and ready for deployment.

Pros & Cons

Price

• Monthly: $49/month
• Yearly: $348/year

Rating

4.9/5 (17 reviews)

9. Data Exporter ‑ Tax Compliance

The Data Exporter—Tax Compliance app is suitable for Shopify store owners who need to comply with tax regulations by exporting complete and unaltered store data. This Shopify tax app ensures businesses can provide accurate transaction records to tax authorities or maintain detailed records for internal compliance.

Key Features

• Export Unaltered Data: The app allows users to export complete and unaltered Shopify store data directly from the database to meet tax compliance requirements.
• Specific Calendar Year Export: Users can export store data for specific calendar years.
• CSV File Delivery: The app sends a CSV file containing exported data directly to your email address.
• Regulatory Compliance: Data exports are compiled to comply with regulations specific to countries like Australia, France (Article 88), and Germany (GoBD).
• Point of Sale App Inclusion: The app covers all transactions conducted via the Shopify Point of Sale application.

Pros & Cons

Price

• FREE

Rating

2.2/5 (10 reviews)

10. Quaderno ‑ Taxes Automation

Quaderno is a comprehensive tax management platform that alleviates the burdens of tax compliance, invoicing, bookkeeping, and tax filing for online sellers. This review explores Quaderno's key features and weighs its potential benefits and drawbacks for your business.

Key Features

• Track Tax Thresholds Worldwide: Quaderno enables users to track tax thresholds worldwide, ensuring businesses comply with tax regulations across different countries.
• Send Tax-Compliant Invoices Worldwide: The platform allows users to send tax-compliant invoices globally, adapting to each country's specific tax requirements.
• File Taxes in Minutes: Quaderno facilitates quick tax filing processes, streamlining the often time-consuming task of tax submission.

Pros & Cons

Price

• Startup: $49/month
• Business: $99/month
• Growth: $149/month

Rating

5/5 (5 reviews)

How to Choose the Right Tax App for Your Store?

Sales Tax Calculation

The app accurately computes sales tax depending on your location and the places where your business has nexus (i.e., where you have a significant business presence). It should also effectively handle different tax rates, exemptions, and special rules (like product-specific taxes).

Tax Filing and Reporting

You should choose an app that calculates taxes and helps with tax filing and reporting. It should generate reports that are compliant with tax authorities and assist in filing returns directly or by providing necessary data for your accountant.

Audit Trail and Documentation

The app should maintain an audit trail of all transactions and calculations for compliance and reference purposes. It should also store relevant documents securely (like exemption certificates) to provide during audits or inquiries.

FAQs

How do I enable tax on Shopify?

1. Log in to your Shopify Admin: Go to Shopify.com and log in to your Shopify account using your credentials.
2. Access Settings: Once logged in, access the Shopify Admin dashboard.
3. Go to Settings: In the Shopify Admin, click "Settings," which is typically located at the bottom left corner of the screen.
4. Select Taxes: In the Settings menu, find and click on "Taxes" under the "Settings" section. This will take you to the Tax settings page.
5. Configure Tax Settings:

• Tax Regions: Shopify automatically detects your store’s address as the default tax region. You can add more tax regions if you have nexus in other locations (states or countries) where you need to collect taxes.
• Tax Rates: Shopify allows you to set up tax rates based on your added tax region(s). You can set different rates for different regions, specify whether taxes are included in your product prices or added at checkout, and handle special tax scenarios like digital products or tax-exempt customers.
• Tax Settings: These include settings such as whether taxes should be displayed on product prices, whether to charge taxes on shipping costs, and whether to apply taxes based on the customer’s shipping or billing address.

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How do I get my tax report from Shopify?

1. Log in to Shopify Admin: Go to Shopify.com and log in to your Shopify account using your credentials.
2. Access Reports: In the Shopify Admin dashboard, navigate to the left-hand menu and click on "Analytics."
3. Choose Reports: In the Analytics section, you'll see various reporting options. Look for "Reports" and click on it.
4. Select Tax Report: In the Reports section, Shopify provides a "Tax Report" option. Click on "Tax Report" to generate the report.
5. Customize Report (Optional): Depending on your needs, you may have options to customize the report by selecting specific date ranges or other parameters. Shopify allows some flexibility in viewing and exporting your tax data.
6. Generate Report: Once you’ve set your preferences, click "Generate Report" or a similar button to compile the tax information based on your selections.
7. View and Export: After generating the report, you can view it directly on the screen. Shopify also typically provides options to export the report in various formats, such as CSV or PDF. Look for an "Export" button or option within the report view.
8. Download or Save: Click on the export option (e.g., "Export CSV" or "Export PDF") to download the report to your computer. Save it in a location where you can easily access and review the data.
9. Review and Use: Open the downloaded report using appropriate software (e.g., Microsoft Excel for CSV files) to review the tax data. You can use this information for filing taxes, accounting purposes, or further analysis.

How do I add on 20% VAT?

1. Log in to Shopify Admin: Go to Shopify.com and log in.
2. Access Settings: In the lower-left corner, click "Settings".
3. Select Taxes: Click on "Taxes and duties".
4. Configure Tax Regions: Select the region or country.
5. Enter 20% VAT: Under "Tax rates," enter "20%".
6. Save Changes: Click "Save".

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Conclusion

automating tax calculations and keeping up-to-date with the latest tax rates, a tax app helps you focus more on growing your business and less on the complexities of tax regulations.