Can you deduct Shopify merchant fees as a business expense?

Generally, yes — merchant fees charged through Shopify are usually deductible as a business expense if they’re ordinary and necessary for running your business. That can include payment-processing fees, transaction fees, and Shopify plan or app costs when they’re used for business purposes.

A few cautions:

• Deductibility depends on your country, tax filing status, and business structure.
• Some fees may need to be categorized differently in your bookkeeping, even if they’re still deductible.
• The exact line item or form can vary by jurisdiction.

For Shopify records, use your Shopify payouts/finance reports or the relevant report that summarizes fees for the tax year, then match those amounts to your bookkeeping.

If you’re filing in the U.S. as a sole proprietor or single-member LLC, these fees are commonly grouped with other business expenses on Schedule C, but the exact category can vary.

General tax guidance only. Because tax rules vary and change, verify the treatment with a CPA or local tax professional for your situation.