Incorrect shipping address on my 365 subscription

Margaret Thompson 0 Reputation points
2026-06-18T17:41:51.98+00:00

My 365 subscription is billed annually in June and shows a billing address in a state where I no longer live resulting in a sales tax fI should not have. Last year I updated my preferred billing and shipping address to my current address on my account immediately after my June, 2025 billing when I ate last year's tax charge. I did not expect another tax charge this year as my current state does not have a sales tax. However, when I received my subscription payment receipt I found the subscription still has the old shipping address attached to it even though my account addresses have been changed. How do I update the shipping address on the subscription to correspond to the preferred address on my account?

Microsoft 365 and Office | Subscription, account, billing | For home | Windows
0 comments No comments

1 answer

Sort by: Oldest
  1. AI answer

    2026-06-18T17:42:15.9133333+00:00

    The tax and shipping address used for a Microsoft 365 subscription is tied to the billing account and subscription, not just the preferred address on the consumer Microsoft account. To stop tax being calculated based on the old state, the address that the subscription uses must be updated in the appropriate billing settings.

    For Microsoft 365 business subscriptions, the tax is determined by either the business address or the shipping address on the billing account. If the shipping address is different from the business address, that shipping address is used for tax calculation.

    For business subscriptions, update the address used for tax as follows (depending on billing account type):

    1. Determine billing account type (MCA vs MOSA) using the guidance in the billing account documentation.
    2. If using a Microsoft Customer Agreement (MCA) billing account:
      1. In the Microsoft 365 admin center, go to Billing > Billing accounts.
      2. Select the billing account, then open the Billing profiles tab.
      3. Select the billing profile.
      4. Under Ship-to address, select Edit.
      5. Update the organization information (address in the correct state) and select Save.
    3. If using a Microsoft Online Services Agreement (MOSA) billing account:
      1. In the Microsoft 365 admin center, go to Billing.
      2. Go to Your products and select the subscription.
      3. In the Service usage address section, select Edit service usage address.
      4. Update the address to the correct state and select Save.

    For business billing, the invoice addresses (Sold to, Bill to, and Service usage) can also be updated in the Microsoft 365 admin center so that future invoices and tax calculations use the correct location. Note that the country/region on the subscription cannot be changed; if the country/region itself is wrong, a new account and subscription must be created with the correct country/region.

    Because the question is tagged as a home subscription, and consumer-specific steps are not detailed in the provided context, contact Microsoft Billing Support if the tax is still calculated using the old address after updating the billing and ship-to/service usage addresses, or if the subscription is a consumer (non-business) Microsoft 365 plan.


    References:

    AI-generated content may be incorrect. Read our transparency notes for more information.

    Was this answer helpful?

Your answer

Answers can be marked as 'Accepted' by the question author and 'Recommended' by moderators, which helps users know the answer solved the author's problem.