See whether collecting duties still beats the door bill.
Shopify Markets can collect duties at checkout (DDP) or leave them
for the buyer at the door (DAP). DDP adds the duty to the card
swipe. DAP looks cheaper and raises refused packages. The table
keeps the same SKU, then compares skip, DAP, and DDP on one
international-interested visitor.
Typical order and the duty
DAP vs DDP
$—
DAP keeps this much more per visitor
DAP expected leftover
DDP expected leftover
Duty collected / remitted
Extra card fee on the duty
DAP delivered leftover
DDP delivered leftover
Refuse leftover
DAP refuse floor
DDP take floor
Monthly gap vs DDP
Same visitor, three ways the cash lands
Path
Checkout
Duty
Take
Refuse
Expected
vs skip
Card fees sit on the checkout total, including duties you collect. A refuse refunds that checkout, leaves the leftover fixed fee, and eats outbound plus the return label. Duty is remitted only on a delivered DDP order. Transparent arithmetic from your inputs — not Shopify Markets policy or a customs quote.
What this checks
Merchants search “should I collect duties on Shopify” because a
$54 checkout looks cheaper than a $62.10 DDP total. The $8.10
still has to be paid. DAP puts it on the door. DDP puts it on
the card — and Shopify Payments takes 2.9% of it.
On the defaults — $48 item, $6 shipping charged, 15% duty,
$5.00 outbound, $8.00 return, Basic 2.9% + $0.30, $14 cost,
$1 pack, $39 / 100 plan, 55% DAP take / 18% refuse, 42% DDP
take / 6% refuse, 20 visitors — DAP expects $12.59 per
visitor. DDP expects $12.00 ($0.59 less, $11.72 / month).
A delivered DAP order keeps $31.74; DDP keeps $31.51. A
refuse leaves −$17.49. DAP refuses have to reach about 20.2%
before DDP matches. Raise DAP refuse to 25% and DDP expects
$12.00 versus DAP $10.69.
Collecting duties at checkout (DDP) adds the duty to the card swipe — Shopify Payments charges its percentage on that extra amount — and usually lowers conversion. Letting the buyer pay at the door (DAP) keeps checkout cheaper and raises door-refuses. On the calculator defaults ($48 item + $6 shipping, 15% duty, 2.9%+$0.30, $14 cost, $5 outbound, $8 return, 55% DAP take / 18% refuse, 42% DDP take / 6% refuse) DAP expects $12.59 per international-interested visitor and DDP expects $12.00. That is arithmetic on your inputs, not advice to turn Shopify Markets duties on or off.
Does Shopify charge fees on duties I collect?
Card fees sit on the checkout total. If you collect $8.10 of duty on a $54 ticket, Shopify Payments at 2.9% + $0.30 charges $2.10 instead of $1.87 — $0.23 extra on the duty. You then remit the $8.10. A delivered DDP order on the defaults keeps $31.51 versus $31.74 on DAP.
When does DAP lose to DDP on Shopify?
When enough DAP buyers refuse the package at the door. A refuse refunds the checkout, leaves the leftover $0.30 fixed fee, and eats outbound plus the return label. On the defaults DAP refuses have to reach about 20.2% before DDP matches, or DDP take has to reach about 44.1%. At a 25% DAP refuse rate DDP keeps more ($12.00 vs $10.69).