--- id: video/5OZ0g5IgC8Q type: video title: "What's new: Shopify Tax Matching (preview) (2026 release wave 2)" summary: Shopify Tax Matching in the Business Central Shopify connector, an AI capability for US sales tax that matches or creates tax jurisdictions, tax areas and tax details from Shopify orders. The video is a 2026 release wave 2 preview session with a demo of review, settings, refunds and rate mismatch handling. tier: official language: en tags: - shopify connector - us sales tax - tax matching - tax jurisdictions - tax areas - ai capability - order synchronization - tax rate reconciliation system: integration review: state: reviewed by: opus at: "2026-10-07T22:43:57.899Z" flags: [] generated: at: "2026-10-09T00:29:02.995Z" pipeline: 0.2.0 prompts: extract-video: 1 summarize-video: 2 input_hash: 40d92661833385e358e117c2ebc0d03d333b843741a77dd07b12aeb8d0ae1af5 evidence: - kind: video url: https://www.youtube.com/watch?v=5OZ0g5IgC8Q&t=40s title: "What's new: Shopify Tax Matching (preview) (2026 release wave 2)" date: "2026-10-01T00:00:00Z" commit: null t: 40 quote: we are introducing some AI capability to help our US customers uh to deal with this one. So, this tax matching capability will analyze - kind: video url: https://www.youtube.com/watch?v=5OZ0g5IgC8Q&t=71s title: "What's new: Shopify Tax Matching (preview) (2026 release wave 2)" date: "2026-10-01T00:00:00Z" commit: null t: 71 quote: Even Shopify connector imports tax information from Shopify, Business Central still recalculates taxes locally because it needs to use a right details when posting - kind: video url: https://www.youtube.com/watch?v=5OZ0g5IgC8Q&t=121s title: "What's new: Shopify Tax Matching (preview) (2026 release wave 2)" date: "2026-10-01T00:00:00Z" commit: null t: 121 quote: we can see that it consists of a multiple levels called tax jurisdictions. Each jurisdiction can have a different tax and then all together - kind: video url: https://www.youtube.com/watch?v=5OZ0g5IgC8Q&t=379s title: "What's new: Shopify Tax Matching (preview) (2026 release wave 2)" date: "2026-10-01T00:00:00Z" commit: null t: 379 quote: It's only available in US, and it's a shipped as small Shopify extension, which is only available in the US, and it's not published - kind: video url: https://www.youtube.com/watch?v=5OZ0g5IgC8Q&t=466s title: "What's new: Shopify Tax Matching (preview) (2026 release wave 2)" date: "2026-10-01T00:00:00Z" commit: null t: 466 quote: system will only offer me review if there is a low confidence. I will not be able to skip review if there is a - kind: video url: https://www.youtube.com/watch?v=5OZ0g5IgC8Q&t=762s title: "What's new: Shopify Tax Matching (preview) (2026 release wave 2)" date: "2026-10-01T00:00:00Z" commit: null t: 762 quote: Remember that we decided that we don't want to review, but this is a important situation, so we have to. - kind: video url: https://www.youtube.com/watch?v=5OZ0g5IgC8Q&t=772s title: "What's new: Shopify Tax Matching (preview) (2026 release wave 2)" date: "2026-10-01T00:00:00Z" commit: null t: 772 quote: Why serious? Because the rate in Shopify is different at the rate in Business Central. So, if we create order and use configuration which links: learn: [] objects: [] features: - feature/573340 topics: [] localizations: [] videos: [] posts: [] guidelines: [] video_id: 5OZ0g5IgC8Q channel: yt-microsoft source_name: Microsoft Dynamics 365 Business Central (YouTube) url: https://www.youtube.com/watch?v=5OZ0g5IgC8Q published_at: "2026-10-01T00:00:00Z" duration_s: 884 captions: full audience: - functional consultant - administrator - partner chapters: - t: 0 title: Introduction to US Sales Tax Challenge and AI Solution - t: 71 title: How Shopify Connector Handles Tax Information - t: 156 title: "Demo: Importing Order and Viewing AI-Assigned Tax Area" - t: 257 title: Tax Match Review Window and Approval Process - t: 353 title: TaxMatch Settings and Configuration Options - t: 455 title: Importing Second Order and Automatic Document Creation - t: 539 title: Reviewing Populated Sales Document and Handling Refunds - t: 623 title: "Testing Error Scenarios: Tax Rate Mismatch Detection" - t: 795 title: Resolving Rate Discrepancies and Final Remarks features: - name: Shopify Tax Matching AI Capability status: unclear t: 40 verified: false status_source: video - name: Tax Area Code Auto-Population status: unclear t: 197 verified: false status_source: video - name: Tax Match Review and Approval Window status: unclear t: 271 verified: false status_source: video - name: TaxMatch Automatic Installation status: unclear t: 379 verified: false status_source: video - name: TaxMatch Configuration Settings status: unclear t: 404 verified: false status_source: video - name: Tax Rate Mismatch Detection and Resolution status: unclear t: 644 verified: false status_source: video - name: Shopify Order Number as Sales Document Number status: ga t: 573 verified: false status_source: roadmap roadmap_ids: - "573340" - name: Automatic Refund Document Creation status: unclear t: 597 verified: false status_source: video objects_mentioned: - other Shopify shop card - other Tax match review window - other TaxMatch fact box - other country and region mapping page quotes: - t: 40 text: we are introducing some AI capability to help our US customers uh to deal with this one. So, this tax matching capability will analyze check: exact - t: 71 text: Even Shopify connector imports tax information from Shopify, Business Central still recalculates taxes locally because it needs to use a right details when posting check: exact - t: 121 text: we can see that it consists of a multiple levels called tax jurisdictions. Each jurisdiction can have a different tax and then all together check: exact - t: 379 text: It's only available in US, and it's a shipped as small Shopify extension, which is only available in the US, and it's not published check: exact - t: 466 text: system will only offer me review if there is a low confidence. I will not be able to skip review if there is a check: exact - t: 762 text: Remember that we decided that we don't want to review, but this is a important situation, so we have to. check: exact - t: 772 text: Why serious? Because the rate in Shopify is different at the rate in Business Central. So, if we create order and use configuration which check: exact --- # What's new: Shopify Tax Matching (preview) (2026 release wave 2) > Shopify Tax Matching in the Business Central Shopify connector, an AI capability for US sales tax that matches or creates tax jurisdictions, tax areas and tax details from Shopify orders. The video is a 2026 release wave 2 preview session with a demo of review, settings, refunds and rate mismatch handling. [Watch on YouTube](https://www.youtube.com/watch?v=5OZ0g5IgC8Q) · Microsoft Dynamics 365 Business Central (YouTube) · 2026-10-01 · 14:44 · tier official · reviewed (checked by Opus) ## Overview The session explains the US sales tax problem: a tax area is made of several tax jurisdictions, each with its own rate. The Shopify connector imports tax information from Shopify, but Business Central still recalculates taxes locally because it needs the right details when posting. The new tax matching capability uses AI to analyze the tax data on a Shopify order and find or create the matching tax jurisdictions, tax areas and tax details. The demo covers importing an order and seeing the AI-assigned tax area, the tax match review window, the TaxMatch settings, automatic document creation for a second order, refunds, and a tax rate mismatch between Shopify and Business Central. The capability is only available in the US, ships as a small Shopify extension and is not published on the marketplace. ## Key points - Tax matching is only available in the US. It ships as a small Shopify extension that is not published on the marketplace. - TaxMatch is installed automatically for new installations. On upgrades it detects US localization and prompts for installation. It must still be activated in the TaxMatch fact box on the Shopify shop card. - Settings cover activation, permission to create tax jurisdictions and tax areas, an optional prefix for auto-created tax areas, and how often to review. Review options include always, never, or only when confidence is low. The demo started with Always. - Creating missing items can be turned off, so tax setup is done manually or imported from another source. A prefix is optional but helps tell auto-created tax areas apart. - Review can be skipped for high-confidence orders. It is still required when a matching jurisdiction is not found or a rate mismatch is detected, even if review is set to Never. - If a tax rate differs between Shopify and Business Central, no document is created until the user approves the Business Central rate or overrides it with the Shopify rate. An override applies by document date, so it affects other documents created on that date or later. - A new setting uses the Shopify order number as the sales order number in Business Central. Another new setting creates a sales return document from a Shopify refund, using the same tax parameters as the original sales order. ## Chapters - [0:00](https://www.youtube.com/watch?v=5OZ0g5IgC8Q&t=0s) Introduction to US Sales Tax Challenge and AI Solution - [1:11](https://www.youtube.com/watch?v=5OZ0g5IgC8Q&t=71s) How Shopify Connector Handles Tax Information - [2:36](https://www.youtube.com/watch?v=5OZ0g5IgC8Q&t=156s) Demo: Importing Order and Viewing AI-Assigned Tax Area - [4:17](https://www.youtube.com/watch?v=5OZ0g5IgC8Q&t=257s) Tax Match Review Window and Approval Process - [5:53](https://www.youtube.com/watch?v=5OZ0g5IgC8Q&t=353s) TaxMatch Settings and Configuration Options - [7:35](https://www.youtube.com/watch?v=5OZ0g5IgC8Q&t=455s) Importing Second Order and Automatic Document Creation - [8:59](https://www.youtube.com/watch?v=5OZ0g5IgC8Q&t=539s) Reviewing Populated Sales Document and Handling Refunds - [10:23](https://www.youtube.com/watch?v=5OZ0g5IgC8Q&t=623s) Testing Error Scenarios: Tax Rate Mismatch Detection - [13:15](https://www.youtube.com/watch?v=5OZ0g5IgC8Q&t=795s) Resolving Rate Discrepancies and Final Remarks ## Features | Feature | Status | At | |---|---|---| | Shopify Tax Matching AI Capability | status not stated, demoed | [0:40](https://www.youtube.com/watch?v=5OZ0g5IgC8Q&t=40s) | | Tax Area Code Auto-Population | status not stated, demoed | [3:17](https://www.youtube.com/watch?v=5OZ0g5IgC8Q&t=197s) | | Tax Match Review and Approval Window | status not stated, demoed | [4:31](https://www.youtube.com/watch?v=5OZ0g5IgC8Q&t=271s) | | TaxMatch Automatic Installation | status not stated, demoed | [6:19](https://www.youtube.com/watch?v=5OZ0g5IgC8Q&t=379s) | | TaxMatch Configuration Settings | status not stated, demoed | [6:44](https://www.youtube.com/watch?v=5OZ0g5IgC8Q&t=404s) | | Tax Rate Mismatch Detection and Resolution | status not stated, demoed | [10:44](https://www.youtube.com/watch?v=5OZ0g5IgC8Q&t=644s) | | Shopify Order Number as Sales Document Number | generally available (roadmap [Control sales document creation for Shopify orders and returns](../features/573340.md)), demoed | [9:33](https://www.youtube.com/watch?v=5OZ0g5IgC8Q&t=573s) | | Automatic Refund Document Creation | status not stated, demoed | [9:57](https://www.youtube.com/watch?v=5OZ0g5IgC8Q&t=597s) | A status with a roadmap link comes from the Microsoft 365 roadmap feature this part of the video covers (matched by Haiku; links Opus dropped are not used); other statuses need a status word in the video itself. ## AL objects mentioned As heard in the captions. A name that matches one object page by exact type and name links to it; the others stay as named. - other "Shopify shop card" at [6:44](https://www.youtube.com/watch?v=5OZ0g5IgC8Q&t=404s) - other "Tax match review window" at [4:31](https://www.youtube.com/watch?v=5OZ0g5IgC8Q&t=271s) - other "TaxMatch fact box" at [6:44](https://www.youtube.com/watch?v=5OZ0g5IgC8Q&t=404s) - other "country and region mapping page" at [2:15](https://www.youtube.com/watch?v=5OZ0g5IgC8Q&t=135s) ## Quotes - [0:40](https://www.youtube.com/watch?v=5OZ0g5IgC8Q&t=40s) "we are introducing some AI capability to help our US customers uh to deal with this one. So, this tax matching capability will analyze" - [1:11](https://www.youtube.com/watch?v=5OZ0g5IgC8Q&t=71s) "Even Shopify connector imports tax information from Shopify, Business Central still recalculates taxes locally because it needs to use a right details when posting" - [2:01](https://www.youtube.com/watch?v=5OZ0g5IgC8Q&t=121s) "we can see that it consists of a multiple levels called tax jurisdictions. Each jurisdiction can have a different tax and then all together" - [6:19](https://www.youtube.com/watch?v=5OZ0g5IgC8Q&t=379s) "It's only available in US, and it's a shipped as small Shopify extension, which is only available in the US, and it's not published" - [7:46](https://www.youtube.com/watch?v=5OZ0g5IgC8Q&t=466s) "system will only offer me review if there is a low confidence. I will not be able to skip review if there is a" - [12:42](https://www.youtube.com/watch?v=5OZ0g5IgC8Q&t=762s) "Remember that we decided that we don't want to review, but this is a important situation, so we have to." - [12:52](https://www.youtube.com/watch?v=5OZ0g5IgC8Q&t=772s) "Why serious? Because the rate in Shopify is different at the rate in Business Central. So, if we create order and use configuration which" ## Disclaimers in the video - [0:06](https://www.youtube.com/watch?v=5OZ0g5IgC8Q&t=6s) preview: This session is about Shopify connector. About one specific capabilities - [6:19](https://www.youtube.com/watch?v=5OZ0g5IgC8Q&t=379s) preview: It's only available in US, and it's a shipped as small Shopify extension, which is only available in the US, and it's not published on market source.