Setting up tax exemptions in your B2B eCommerce is fundamental in a country like Spain, where there are different VAT rates in different regions.
Spain presents considerable fiscal complexity as it includes different VAT types in its territories
🔹 Peninsula and Balearic Islands: Standard VAT of 21%, excluding the Canary Islands, Ceuta, and Melilla from its scope.
Considering these exemptions in your Shopify B2B eCommerce is fundamental:
- ➡️ Ensures your company complies with local tax regulations.
- ➡️ Offers correct and transparent prices, improving customer trust and satisfaction, user experience, and, therefore, their loyalty.
- ➡️ Avoids improper tax collection, reducing subsequent operating costs.
And that's why Shopify has just launched a new tax calculation engine that automates this configuration via Shopify Tax or manually via Manual Tax.
Configuring the Shopify tax module
Below, we explain how you can configure this part in your B2B eCommerce:
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Accessing Tax Settings:
- Go to Settings in your Shopify admin panel.
- Select Taxes and duties.
- Select the country, the Tax service option, and change it to Shopify Tax for automatic setup or Manual Tax for manual configuration.
- Add the specific regions (Canary Islands, Ceuta, Melilla) as shipping destinations.
- Define the corresponding tax rates for each region.
At Upango, we can configure your custom tax engine whether you sell in Spain or internationally.
In addition, we offer e-commerce solutions, ranging from the development of personalized websites and migration from other platforms, to marketing strategies, user experience design, system integrations, enterprise resource planning, and digital marketing solutions.
We have been supporting B2B companies in their transition to the online channel for years. We conduct strategic consultancies where we offer personalized solutions that adapt to each specific need.