Merchant of record

The merchant of record (MoR) is the party that is legally the seller towards the customer. That party is responsible for the payment, VAT and customs duties, refunds and chargebacks. If you sell through Shopify Payments, you are the merchant of record yourself. With services such as Shopify Managed Markets, a partner takes over that role. How this fits into your payment setup is covered in our guide to Shopify payments.

In short

The merchant of record is the legal seller and carries the tax and payment obligations.

On Shopify Payments you are the merchant of record.

With Shopify Managed Markets, Global-e is the merchant of record; according to Shopify that service is only available to businesses in the US and certain stores in Canada and the UK.

What is a merchant of record responsible for?

Accepting the payment and invoicing the customer correctly.

Calculating and remitting VAT and, for exports, customs duties.

Handling refunds and chargebacks.

Complying with consumer rules in the customer's country.

Be your own merchant of record, or outsource it?

For sales within the EU you usually remain your own merchant of record. An outsourced MoR is mainly worth considering for sales outside the EU, where VAT registrations and customs quickly get complex.

Merchant of record on Shopify

With Shopify Payments or another payment provider you are the seller. Shopify supplies the technology, you carry the obligations. With Shopify Managed Markets, Global-e is the merchant of record and handles customs duties and tax remittance, among other things. That service requires Shopify Payments and, according to Shopify, is available to businesses in the United States and certain stores in Canada and the United Kingdom (checked in October 2026). Belgian and Dutch brands therefore sell internationally as their own merchant of record, using Shopify Markets for currencies, languages and prices per country.

Example in a Shopify context

A Belgian shoe brand sells within the EU and wants to expand to Switzerland. Within the EU it remains its own merchant of record. For Switzerland the brand has to handle customs and local VAT, or bring in a cross-border partner that acts as MoR. Which payment methods it offers per country is covered in payment methods for your online store by country.

Frequently asked questions

What is a merchant of record?

The party that is legally the seller towards the customer and is responsible for payment, VAT, refunds and chargebacks.

Is Shopify a merchant of record?

No. With Shopify Payments you are the merchant of record. Only with Shopify Managed Markets does Global-e take on that role.

Can a Belgian or Dutch online store use Managed Markets?

According to Shopify, in October 2026 Managed Markets is available to businesses in the US and certain stores in Canada and the UK. Belgium and the Netherlands are not listed.