Shopify Tax Automated Filing Terms of Service

Last updated: August 1, 2024

By signing up to use Shopify Tax Automated Filing (as defined below), you are agreeing to be bound by the following terms and conditions (the “Tax Filing Terms”). As used in these Tax Filing Terms, “we”, “us” and “Shopify” means Shopify Inc. and its Affiliates, where “Affiliates” means any entity that directly or indirectly controls, is controlled by, or is under common control with Shopify Inc. “Merchant”, “you” or “your” means any individual or legal entity that uses Shopify Tax Automated Filing.

1. Tax Filing Services

Shopify Tax Automated Filing (“Shopify Tax Automated Filing” or “Tax Filing Services”) is a sales tax filing service that is made available through Shopify and allows you to access and use the Tax Service Provider’s services to generate and submit sales tax returns (the “Sales Tax Returns”). As part of Shopify Tax Automated Filing, you will provide the Tax Service Provider with information related to your commercial deposit account information at a United States depository institution (the “Bank Account”) for the remittance of sales taxes to the relevant tax jurisdictions in the United States (the “Tax Authorities”), as well as login credentials and passwords to your online accounts with the Tax Authorities (the “State Tax Accounts”).
The “Tax Service Provider” is Sovos Compliance, LLC, together with Sovos Affiliates. “Sovos Affiliates” means any entity that directly or indirectly controls, or is controlled by, or is under common control with Sovos Compliance, LLC. By accepting these Tax Filing Terms, you are also accepting and agreeing to be bound by the Sovos Terms of Service – Shopify Tax Automated Filing, which is a legal agreement between you and the Tax Service Provider (the “Tax Service Provider Terms”). Please review the Tax Service Provider Terms carefully. Shopify is not a party to the Tax Service Provider Terms and is not liable to you in respect thereof.
Shopify Tax Automated Filing is available to Merchants that are currently enrolled in Shopify Tax. When you use the Tax Filing Services, you authorize us to deliver information and instructions on your behalf to the Tax Service Provider including, without limitation, information generated through Shopify Tax.
Shopify reserves the right to update and change the Tax Filing Terms by posting updates and changes to the Shopify website. You are responsible for checking these Tax Filing Terms from time to time for any updates or changes that may impact you, and if you do not accept such amendments, you must cease using Shopify Tax Automated Filing immediately.
You must read, agree with and accept all of the terms and conditions contained or expressly referenced in these Tax Filing Terms, including the Shopify Tax Terms of Service (the “Shopify Tax Terms”), Shopify Terms of Service (the “Shopify Platform Terms”), Shopify Acceptable Use Policy, Shopify Privacy Policy and Shopify Data Processing Addendum, before you use Shopify Tax Automated Filing.

2. Use of Tax Filing Services

Under these Tax Filing Terms, you may use the Tax Filing Services for internal business purposes only and in accordance with the Tax Filing Terms, the Tax Service Provider Terms and applicable laws. For the duration of these Tax Filing Terms and subject to the relevant provisions set out herein, Shopify grants you a non-exclusive, non-transferable, non-sublicensable, limited, revocable right to use the Tax Filing Services (the “License”). Neither the License nor any other provision hereof shall grant any rights in Tax Filing Services or other intellectual property rights except the limited License of use set out above.
You bear full responsibility for confirming the accuracy and applicability of (i) any inputs to the Tax Filing Services, including those generated through Shopify Tax, and (ii) any output generated by the Tax Filing Services. You are solely responsible for all aspects of tax compliance and obligations related to your online storefront(s) (“Store(s)”) and business, including without limitation, the submission of Sales Tax Returns and the remittance of sales taxes in an accurate, timely and complete manner. You are responsible for the overall accuracy of any data in or used to prepare your Sales Tax Return.
Shopify will use its commercially reasonable efforts to provide you with customer support to help resolve technical issues related to Shopify Tax Automated Filing. You assume sole and exclusive responsibility for the use of Tax Filing Services. The Tax Service Provider is responsible for the generation and submission of Sales Tax Returns, including the sharing of your Bank Account for remittance purposes to the appropriate Tax Authorities in the United States, but Shopify will provide reasonable assistance in liaising between you and the Tax Service Provider concerning the Tax Filing Services. Notwithstanding the foregoing, you acknowledge and agree that the provision of Tax Filing Services is contingent on your provision to the Tax Service Provider of accurate, timely and complete information, including but not limited to, State Tax Account and Bank Account information.
You agree to comply with all applicable laws, including all tax regulations, related to your Store(s) and all goods or services offered through your Store(s). You will not solely rely on the use of Shopify Tax Automated Filing or Shopify Tax in calculating any taxes or fees owed, or otherwise complying with any laws or regulations. You are solely responsible for any liabilities, penalties, or interest imposed on you in connection with your payment of or failure to pay taxes, whether resulting from your use of Shopify Tax Automated Filing or otherwise.
Shopify makes no guarantees to you in relation to the availability or uptime of Shopify Tax Automated Filing and Shopify is not obligated to provide any maintenance, technical or other support related thereto. Shopify does not guarantee the availability, accuracy, completeness, reliability or timeliness of any data or information displayed in connection with the Tax Filing Services. To the extent you choose to use Shopify Tax Automated Filing, you are responsible for your reliance on any data, information, return, remittance or filing created or submitted using Shopify Tax Automated Filing.
These Tax Filing Terms do not create a partnership, joint venture, agency, or fiduciary relationship between the parties. You acknowledge and agree that Shopify does not, and shall not be deemed to, provide tax or legal advice in providing Shopify Tax Automated Filing. You are responsible for seeking the assistance of a qualified legal, tax, or accounting professional, conducting your own due diligence and any tax policies and tax reporting positions taken.

3. Merchant Obligations

You agree that Shopify is permitted to share all information, data and documents reasonably required for purposes of the Tax Filing Services with the Tax Service Provider. This includes information regarding, but not limited to, your Store(s), business, order and sales data (including data imported from sales channels outside of Shopify), Bank Account information and login credentials and passwords that you share with us for purposes of the Tax Filing Services. Your use of Shopify Tax Automated Filing, including information transmitted or stored by Shopify, is governed by the Shopify Privacy Policy.
You represent and warrant that the business information (including but not limited to your business name, business address, federal employer identification number (EIN), sales tax identification number, designated authorized representatives and any login credentials and passwords) and any other information that you provide to Shopify are accurate and current, and you will immediately update any such information in your Shopify Admin in the event of changes. You further represent and warrant that any Bank Account information you share with Tax Service Provider pertains to a commercial deposit account that Merchant owns and upon which you are authorized to transact. We reserve the right to confirm the validity of your information and request additional information from you. You agree to provide any requested information to us or the Tax Service Provider, as applicable, within the prescribed time period. Failure to provide us or Tax Service Provider, as applicable, with accurate and complete information in a timely manner may affect the accuracy, timeliness and completeness of your Sales Tax Returns and sales tax remittances.
You are solely responsible for ensuring that your use and sharing of any personal information (collectively, “Personal Data”) complies with applicable laws and your privacy policy. You agree to (i) provide clear and complete information to individuals regarding your collection, use and disclosure of Personal Data; and (ii) comply with all applicable laws regarding privacy and data collection with respect to any collection, use or disclosure of Personal Data.
You agree to comply with all instructions and operational protocols related to the Tax Filing Services as specified within your Shopify Admin, including adherence to prescribed guidelines, submission deadlines and accurate provision of information. This includes complying with all set-up instructions in your Shopify Admin, including but not limited to establishing the credentials within your State Tax Accounts that the Tax Service Provider requires in order to file on your behalf. Non-compliance with such instructions or protocols may affect the accuracy, timeliness and completeness of your Sales Tax Returns.
You acknowledge and agree that by using Shopify Tax Automated Filing, the Tax Service Provider will be authorized to use your login credentials and passwords to access your State Tax Accounts for purposes of submitting your Sales Tax Returns and providing your Bank Account for sales tax remittances on your behalf, as outlined in the Tax Service Provider Terms. Additionally in using Shopify Tax Automated Filing, you are authorizing the Tax Service Provider to accept any direct debit mandates required by Tax Authorities on your behalf for the remittance of sales taxes from your designated Bank Account. You acknowledge and agree that you will ensure that sufficient funds are maintained in your Bank Account prior to any applicable Tax Authority deadline.
A Sales Tax Return will not be generated until you have provided all information and data necessary to generate such Sales Tax Return. You will have the opportunity to review each Sales Tax Return generated by the Tax Service Provider for a designated period of time as specified in your Shopify Admin prior to the applicable Tax Authority deadline (such period, the “Review Period”). Typically, a Review Period begins at its earliest at 9:00 AM Eastern Standard Time on the first (1st) day of the calendar month and concludes at its latest at 11:59 PM Eastern Standard Time on the sixth (6th) day of the calendar month in which the Sales Tax Return is due; provided that, if the Sales Tax Return is due between the first (1st) and sixth (6th) day of the calendar month, the Review Period will instead occur between the first (1st) and sixth (6th) day of the prior calendar month. You acknowledge and agree that you shall verify the accuracy and completeness of the Sales Tax Return during each Review Period, and that at the end of each Review Period, unless you have indicated in your Shopify Admin in a timely manner that you wish to skip the filing of such Sales Tax Return (a “Skip Request”), such Sales Tax Return will be automatically submitted to the applicable Tax Authority. For the avoidance of doubt, if a Skip Request is placed on a Sales Tax Return and the Review Period has passed, no submission or remittance will occur, and you will need to self-file the Sales Tax Return to the applicable Tax Authority. You are further responsible for verifying the status of your Sales Tax Returns to confirm that it has been received and accepted by the relevant Tax Authority.
You will have until the end of the Review Period to update inputs used to generate a Sales Tax Return (such changes, “Input Changes”), and such updated Sales Tax Return will be automatically submitted thereafter unless you have placed a Skip Request on such updated Sales Tax Return prior to the end of the Review Period. Once the Review Period ends, you will no longer be able to update a Sales Tax Return, except for certain administrative settings preventing the Tax Service Provider from submitting a Sales Tax Return on your behalf, including but not limited to login credentials, filing frequencies and one-time passcode (OTP) setup (such changes, “Administrative Changes”). Notwithstanding the foregoing, you acknowledge that any Administrative Changes made after the Review Period ends may result in the delayed submission of your Sales Tax Return and you remain solely responsible for any penalties, interest or other consequences that result from such delayed submission. In such cases, you have the option to place a Skip Request on that Sales Tax Return and self-file to ensure timely submission, but for the avoidance of doubt, you will still be charged for the generated Sales Tax Return.
In addition to other prohibitions set forth in these Tax Filing Terms, you are prohibited from using Shopify Tax Automated Filing: (a) for any unlawful purpose; (b) to solicit others to perform or participate in any unlawful acts; (c) to violate any international, federal, provincial, state or local laws, regulations, rules or ordinances; (d) to infringe upon or violate our intellectual property rights or the intellectual property rights of others; (e) to submit false or misleading information; (f) to upload or transmit viruses or any other type of malicious or destructive code; (g) to reproduce, duplicate, copy, sell, resell or exploit any portion of Shopify Tax Automated Filing; (h) to generate or submit Sales Tax Returns on a professional or commercial basis; or (i) as a service bureau, or to process data on behalf of any third party. We reserve the right to terminate your use of Shopify Tax Automated Filing for violating any of these prohibited uses.
You are responsible for ensuring that you maintain documentation of all relevant tax information, including but not limited to records of your Sales Tax Returns and remittances to the appropriate Tax Authorities in accordance with applicable laws.

4. Representations and Warranties

By using Shopify Tax Automated Filing, you represent, warrant and covenant that: (i) you are at least 18 years of age; (ii) you have the legal power to enter into and perform the obligations under these Tax Filing Terms, and to the extent you are a legal entity, the person accepting these Tax Filing Terms on behalf of you has been duly authorized to do so; (iii) the information you provide to Shopify in using Shopify Tax Automated Filing is true, complete and correct; (iv) the individual(s) you designate as the authorized signatory for purposes of any Sales Tax Returns submitted using Shopify Tax Automated Filing have been duly authorized to do so; (v) the Bank Account you designate for purposes of sales tax remittances belongs to you and you have been duly authorized to use this account for such purposes; (vi) your use of Shopify Tax Automated Filing is not in violation of any obligation imposed on you; and (vii) you will not use Shopify Tax Automated Filing for any fraudulent, unlawful or abusive purpose.

5. Pricing for Shopify Tax Automated Filing

Pricing for Tax Filing Services is set out in your Shopify administrative console (the “Shopify Admin”). You agree to pay the applicable fees for the Tax Filing Services that are set out in your Shopify Admin, which are incorporated herein by reference (the “Tax Filing Fees”). You are responsible for any applicable Taxes (as defined in the Shopify Platform Terms) associated with the Tax Filing Fees.
Tax Filing Fees will be added to your next Shopify invoice, which will appear on the account page in your Shopify Admin. You have approximately two (2) weeks after the receipt of a Shopify invoice to bring up and settle any issues with the Tax Filing Fees billed to that invoice.
Shopify will charge your payment method for the aggregate Tax Filing Fees you have incurred in connection with Shopify Tax Automated Filing in accordance with your Shopify invoice. You authorize Shopify to charge the payment method used to pay for your Shopify account for any Tax Filing Fees in accordance with these Tax Filing Terms.
You will remain responsible for payment in the event your payment method fails or we are otherwise unable to collect payment from you. If we are unable to collect payment from you for the invoiced Tax Filing Fees, you will not be able to continue using Tax Filing Services until such Tax Filing Fees are paid.
We reserve the right to charge additional fees or otherwise change the Tax Filing Fees for the Tax Filing Services at any time. We will provide you with thirty (30) days advance notice prior to any changes in the Tax Filing Fees by sending you an email to your Primary Email Address, providing notice through the Shopify Admin, or by similar means. If you continue using Shopify Tax Automated Filing, then you will be deemed to have accepted the additional fees or changes in Tax Filing Fees contemplated by such notice. “Primary Email Address” means the email address you provide on opening a Shopify account or as updated by you from time to time as the primary method for communication with you.
Shopify will not be liable to you or to any third party for any modification, price change, suspension or discontinuation of Shopify Tax Automated Filing, or any part thereof.
The Shopify Tax Promotion (the “Promotion”) allows eligible Stores to receive a discount (the “Discount”) on Shopify Tax Automated Filing. A Store may participate in the Promotion only if: (i) you are a Merchant in the United States that enrolls your Store in Shopify Tax; (ii) you are subscribed to one of the following Shopify service subscription plans while the Promotion is available: “Basic,” “Shopify,” “Advanced,” or “Plus” (an “Eligible Plan” or, altogether, the “Eligible Plans”); (iii) your Store has been invited to participate in the Promotion by email communication to you from Shopify directly; (iv) you complete any required action(s) to set up Shopify Tax Automated Filing while the Promotion is available; and (v) your Store is in compliance with the Shopify Platform Terms (altogether, the “Eligibility Criteria”). Your Store must successfully fulfill the Eligibility Criteria while the Promotion is active. Your Store will no longer be eligible for the Promotion if you: (i) pause or cancel an Eligible Plan; (ii) change your Store country or are no longer located in the United States; (iii) are in violation of the Shopify Tax Terms; or (iv) cease using Shopify Tax Automated Filing. Determinations of eligibility for this offer will be made in Shopify’s sole discretion. For Stores that meet the Eligibility Criteria and enroll and set up tax returns by November 20, 2024, Shopify Tax Automated Filing is free to use until December 31, 2024. Starting on January 1, 2025, Tax Filing Fees will be charged for every return generated by Shopify Tax Automated Filing. Stores on Basic, Shopify, or Advanced plans that meet the Eligibility Criteria and set up tax returns by December 31, 2024 may receive 50% off of the Tax Filing Fees for those returns through 2025. Stores on Plus plans that meet the Eligibility Criteria and set up tax returns by December 31, 2024 may receive free filing for those returns through 2025. The Discount is not available for any tax returns set up after December 31, 2024. The Discount is only available for current or upcoming filings. Past or amended filings are not subject to the Discount. You remain responsible for all other fees payable to Shopify under the Shopify Platform Terms and are not entitled to any promotion or discount on any such fees. You are responsible for any and all tax liability resulting from earning the Promotion. Shopify reserves the right to any remedy, including cancellation of your account or the Discount, if fraud, tampering, technical errors, or violations of the Shopify Platform Terms are suspected. Shopify reserves the right to cancel or change the Promotion or these terms at any time in its sole discretion.

6. Term and Termination

These Tax Filing Terms are effective upon the date you agree to it (by electronically indicated acceptance) and continue so long as you use the Tax Filing Services or until terminated by you or by Shopify.
You may terminate these Tax Filing Terms by disabling or turning off Shopify Tax Automated Filing by following the instructions in your Shopify Admin. We may suspend or terminate your access to Shopify Tax Automated Filing or these Tax Filing Terms for any reason, without notice and at any time, including if: (i) we suspect that you have failed to comply with any of the provisions in these Tax Filing Terms, the Tax Service Provider Terms or the Shopify Tax Terms; or (ii) upon request of the Tax Service Provider. Termination of these Tax Filing Terms shall entitle Shopify to cause the Tax Service Provider to terminate the Tax Service Provider Terms.
Upon termination of Shopify Tax Automated Filing or these Tax Filing Terms, we will immediately discontinue your access to Tax Filing Services. Termination does not relieve you of your obligations as defined in these Tax Filing Terms. In addition to any provision that is reasonably necessary to accomplish or enforce the purpose of these Tax Filing Terms, the following sections of these Tax Filing Terms shall survive termination: Sections 2.B, 2.D, 5, 6, 7, 8 and 9. Termination of these Tax Filing Terms will not necessarily terminate your Shopify Platform Terms, unless Shopify determines otherwise.
Upon termination of Tax Filing Services or these Tax Filing Terms, you agree: (i) to immediately cease your use of Tax Filing Services; (ii) that the license granted under these Tax Filing Terms shall end; (iii) that we will not be liable to you for any compensation, reimbursement, damages or otherwise in connection with your use of Tax Filing Services, or any termination or suspension of Tax Filing Services; and (iv) that you will still be liable to us for any fees incurred by you or through your use of the Tax Filing Services prior to termination.

7. Feedback

You may choose to, or we may invite you to submit comments or ideas about the Tax Filing Services, including, without limitation, about how to improve the Tax Filing Services (“Feedback”). By submitting any Feedback, you agree that your disclosure is gratuitous, unsolicited and without restriction, and will not place us under any fiduciary or other obligation, and that we are free to use the Feedback without any compensation to you, and to disclose the Feedback on a non-confidential basis or otherwise to anyone.

8. Limitation of Liability; Disclaimer of Warranties

Nothing in these Tax Filing Terms shall serve to diminish your liability under the Tax Service Provider Terms, Shopify Platform Terms or Shopify Tax Terms. You are obligated to fulfill your obligations under these Tax Filing Terms and those under the Tax Service Provider Terms, Shopify Platform Terms and Shopify Tax Terms.
Shopify provides no representations, warranties, guarantees, or advice in connection with Shopify Tax Automated Filing. Shopify expressly disclaims any responsibility to confirm or verify the following: (a) the accuracy, timeliness or completeness of any generated or submitted Sales Tax Return, including the remittance of any applicable sales taxes; and (b) whether the Sales Tax Returns generated or submitted using Shopify Tax Automated Filing satisfy your tax obligations under applicable laws.
Shopify provides access to Shopify tax automated filing on an “as is” and “as available” basis. to the maximum extent permitted by applicable law, Shopify makes no representations or warranties of any kind regarding Shopify tax automated filing. Shopify disclaims all representations and warranties, either express or implied, including, but not limited to implied warranties of merchantability and fitness for a particular purpose, or warranties that may arise by usage of trade, course of dealing, or course of performance. Shopify shall have no liability whatsoever arising from or relating to your use of Shopify tax automated filing or under the tax service provider terms, including but not limited to any direct, special, exemplary, punitive, indirect, incidental or consequential damages, including but not limited to damages for loss of profits, goodwill, use, data or other tangible or intangible losses of any kind, whether based in contract, tort, strict liability or otherwise, arising out of or in any way connected with Shopify tax automated filing. in no event shall Shopify’s entire liability to you arising in connection with Shopify tax automated filing exceed six months of fees paid by you to Shopify.
You agree to indemnify, defend and hold harmless Shopify, its Affiliates, and its and their respective employees, agents, suppliers, partners, officers, directors, independent contractors and service providers (each, a “Shopify Entity”), from and against all claims, suits, demands, losses, liabilities, damages, penalties, costs, actions and proceedings, including reasonable attorneys’ fees (collectively, “Claims”), to the extent that such Claim is based upon or arises out of: (i) your breach of these Tax Filing Terms, the Tax Service Provider Terms or the documents incorporated by reference; (ii) your violation of any law or the rights of a third party; (iii) any unauthorized use of Shopify Tax Automated Filing, or any of your actions or omissions relating to Shopify Tax Automated Filing; (iv) any liability we incur that results from your use of the Tax Filing Services; or (v) any data uploaded by you or on your behalf in connection with Shopify Tax Automated Filing. Any use by you of Shopify Tax Automated Filing is entirely at your own risk and discretion.

9. Miscellaneous

These Tax Filing Terms shall be governed by and interpreted in accordance with the laws of the Province of Ontario and the laws of Canada applicable therein, without regard to principles of conflicts of laws. The parties irrevocably and unconditionally submit to the exclusive jurisdiction of the courts of the Province of Ontario with respect to any dispute or claim arising out of or in connection with these Tax Filing Terms. The United Nations Convention on Contracts for the International Sale of Goods will not apply to these Tax Filing Terms and is hereby expressly excluded.
You agree that Shopify can provide notices and disclosures that we deem appropriate regarding Shopify Tax Automated Filing to you by posting such notices and disclosures in your Shopify Admin, or emailing them to your Primary Email Address. You agree that electronic disclosures and notices have the same meaning and effect as if we had provided you with a paper copy.
The failure of Shopify to exercise or enforce any right or provision of these Tax Filing Terms shall not constitute a waiver of such right or provision. If a court finds any portion of these Tax Filing Terms to be unenforceable or invalid, that portion of the Tax Filing Terms will be enforced to the fullest extent permitted by applicable law and the remainder of the Tax Filing Terms will remain valid and enforceable.
You may not assign these Tax Filing Terms or any rights or obligations hereunder, whether by operation of law or otherwise, without our prior written approval and any such attempted assignment shall be void. We reserve the right to freely assign these Tax Filing Terms and the rights and obligations hereunder, to any third party without notice or consent. Subject to the foregoing, these Tax Filing Terms shall be binding upon and inure to the benefit of the parties hereto, their successors and permitted assigns.
These Tax Filing Terms, including the documents it incorporates or otherwise references, constitutes the entire agreement between you and Shopify regarding your use of the Tax Filing Services and supersede any prior understandings regarding the Tax Filing Services between you and Shopify.