Marketplaces like Amazon, eBay, Etsy, and Walmart are now withholding sales tax on sellers' orders, as required by law. Whether the marketplace withholds sales tax and remits on behalf of merchants depends on individual state/country laws.
Handling sales tax when importing orders to Shopify
Shopify Marketplace Connect will correctly handle syncing of marketplace orders such that if a Marketplace order has had sales tax withheld, Marketplace Connect correctly sends orders to your Shopify store with no sales tax (because it's already been collected and paid by the Marketplace).
Decide how tax is charged in Shopify
Manage how taxes are charged and shown in your store.
Navigate to Settings > Taxes and Duties
Further information on Marketplace Tax settings
Please ensure you are connecting to your specified region i.e. .com, .co.uk, .ca
How tax laws affect Etsy sellers around the World
How tax laws affect Amazon sellers around the World
How tax laws affect ebay sellers around the World
How tax laws affect Walmart sellers around the World
For further assistance, please reach out to marketplace-connect@shopify.com