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Understanding Shopify’s Automated Tax Notice

You may receive an automated tax notice from Shopify that looks concerning. This alert is triggered when Shopify detects a U.S. address in...

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You may receive an automated tax notice from Shopify that looks concerning. This alert is triggered when Shopify detects a U.S. address in your account. While it may seem like it requires immediate action, this notice is only a system-generated message and does not affect your store’s tax obligations.

Why you received this notification

Shopify flagged the Pennsylvania address as a possible physical nexus. Their system is designed to automatically detect U.S. addresses and trigger an alert that may suggest tax obligations.

However, in this case, the address is used only for app configuration. It does not represent a physical business presence or create any tax responsibilities.

What this means for your store

You can safely ignore this notification. It does not impact your store operations, tax collection requirements, or compliance status. Your store is not required to collect taxes based on this address.

Things to keep in mind

  • The Pennsylvania address is strictly for system configuration.

  • No tax obligations are created by this system alert.

  • If you’d like to go deeper into how Shopify handles tax nexus, or if you have any questions about compliance, your Account Manager will be happy to walk you through it.

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