Why Does Shopify Say I Need to Collect Sales Tax in Ohio?
Find out why Shopify may show an Ohio sales tax requirement after installing the Bookvault app and whether you need to take any action.
After installing the Bookvault app on your Shopify store, you may notice that Shopify indicates you need to collect sales tax in Ohio.
This appears because of the way Bookvault's US fulfilment location is connected to your Shopify store.
Why does Ohio appear in Shopify?
When Bookvault integrates with your Shopify store, inventory locations are created to help route orders to the nearest available print facility.
A US address is assigned to the inventory location used by Bookvault's American print partner.
Bookvault has established tax nexus in Ohio through this partnership, which means Bookvault is required to collect and remit the applicable sales tax on orders fulfilled from that location.
Do I need to do anything?
No action is required from you because of Bookvault's Ohio tax nexus.
Bookvault manages its own requirement to collect and remit the applicable sales tax.
However, this is separate from any sales tax obligations your own business may have. If your business independently establishes tax nexus in Ohio, you may have your own tax responsibilities.
Why does Bookvault create Shopify inventory locations?
The inventory locations allow orders to be routed between Bookvault's available print facilities.
If you're having problems with your Shopify inventory locations, SKUs, shipping profile or order routing, see:
Troubleshooting my Shopify store