# Tax is now calculated on return shipping fees

By Steven Van · 2026-09-25

From October 23, Shopify Tax and Tax Platform merchants in the US get automatic tax calculation on return shipping fees.

Starting **October 23, 2026**, [Shopify](<https://creatorstoolbox.com/tools/shopify>) will tax return shipping fees the same way it taxes any other shipping charge, for merchants using Shopify Tax or Tax Platform in the United States. The tax is calculated and applied automatically: an estimated amount shows when a return is created, and the final amount is recorded when the return is processed, flowing into tax reports automatically.

The change applies to orders shipped to US addresses, and existing shipping tax settings still apply, so return shipping fees stay untaxed in any state where shipping itself is untaxed. Merchants who currently use a manual workaround to calculate, collect, import, or reconcile tax on return shipping should review it before October 23 to avoid double-counting tax. Otherwise, [no action is required](<https://changelog.shopify.com/posts/tax-is-now-calculated-on-return-shipping-fees>).

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Shopify

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[View Shopify →](<https://creatorstoolbox.com/tools/shopify>)

[Read the original announcement →](<https://changelog.shopify.com/posts/tax-is-now-calculated-on-return-shipping-fees>)

[Read Tax is now calculated on return shipping fees on Creators Toolbox](<https://creatorstoolbox.com/blog/shopify-tax-is-now-calculated-on-return-shipping-fees>)

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