How M2E Handles Taxes for TikTok Shop Orders

When selling on TikTok Shop with M2E Multichannel Connect, it's important to know how tax data is processed. M2E ensures that tax-related details are correctly managed and transferred to your store. This helps you maintain tax compliance and create accurate, transparent order records.

Basic tax handling #

When processing taxes, M2E uses two sources of information:

1. Tax data provided in the TikTok Shop order (when available)
2. Tax settings defined in your store

TikTok Shop tax settings #

TikTok Shop doesn’t always return full tax information with its orders. In some cases, such as orders from European regions, such as Spain or the UK, no tax data is provided through the API.

To ensure your store receives complete and compliant order data, M2E applies a standard tax rate based on the buyer’s country when tax information is missing.

Store tax settings #

Your store’s tax behavior depends on the platform and the regional rules you’ve configured. M2E detects these settings and adjusts TikTok Shop order data accordingly.

• If you are responsible for handling taxes, M2E ensures that the correct tax rate and amount are reflected in your store orders.
• If TikTok Shop handles tax collection and remittance (as it commonly does for US orders), you may not want tax values included in your store orders.

M2E Multichannel Connect gives you control over this behavior. You can set the app to exclude tax data from TikTok Shop US orders created in your store:

1. Go to your store account from the top menu.
2. Navigate to Settings > Orders > Tax Collection.
3. Enable the Exclude tax collected by US-based Marketplaces option.

How M2E sends tax data #

M2E reads available tax information from the TikTok Shop order and aligns it with your store’s tax setup before passing the data to your store. For example:

• If your store is configured to calculate tax, M2E sends the item price excluding tax, and your store will calculate and apply the tax.
• If your store uses tax-inclusive pricing, M2E sends the item price including tax and includes a tax breakdown when available.

✅ If tax data is excluded for US orders, M2E won't include the tax line in your store order.

ℹ️ If you're unsure how taxes are being calculated or passed to your store from TikTok Shop orders, feel free to reach out to the M2E support team.

For tax-related concerns, we also recommend checking with your accountant or a licensed tax professional.