Colorado Retail Delivery fee
If you sell to Colorado customers (even if you have no physical location in the state) and establish Colorado nexus (reach a dollar amount or # of sales) and therefore must pay sales tax in Colorado, as of July 1, 2022, all sales shipped to the state incur a .27 flat "retail delivery fee". Our sales come from our website, hosted by Shopify. Shopify collects this properly and sends to DEAR (and on to our accounting system, Xero) and it works fine, except...if our customer has qualified for free shipping. Then, DEAR will NOT sync to Xero because: "Tax amount cannot be greater than the line amount: (Product: Shipping - Free Shipping, Tax: 0.27, Line Amount: 0.00)".
I've gotten this response from DEAR:
Please note that I checked your query with our technical team and as per their advice currently DEAR does not support these types of special taxes, we currently working on improving our integration to support these kinds of special taxes."
I'm requesting that DEAR urgently changes the rules on this integration. Currently we have almost 100 sales that I have to manually enter which defeats the entire purpose of integrating.
This might not be something that too many other companies are running into yet but it seems like an easy fix to allow the sale to sync regardless of a shipping amount or to process the fee as a fee and not a tax. Also Shopify>DEAR>Xero is a well used system and your customers will be pleased to see that DEAR is paying attention to their clients using this well known integration for running a business.