Quick Answer
Almost every U.S. state charges a recycling fee when you sell new tires — usually between $0.25 and $5.00 per tire. Shopify doesn't have a built-in way to add per-unit fees by destination state. The simplest way to handle it is with Magical Fees, which adds the correct fee as a separate line item at checkout.
What You Need to Know About Tire Recycling Fees
When your customers buy new tires, most states require you to collect a small fee that funds scrap tire cleanup and recycling programs. The fee is per tire, charged at the point of sale, and usually needs to be listed separately on the invoice.
Rates vary by state. Here are some examples:
- California — $1.75 per tire
- Colorado — $1.50 per tire
- Florida — $1.00 per passenger tire; $2.00 per truck tire
- Maryland — $1.00 recycling fee + $5.00 tire fee (effective Jan 1, 2026)
- Michigan — $1.25 per tire
- Oklahoma — $2.90 per tire
- South Carolina — $2.00 per tire
- South Dakota — $0.25 per tire
- Tennessee — $1.35 per tire
- Virginia — $2.00 per tire
- Washington — $1.00 per tire
A handful of states — including Alaska, Delaware, Wyoming, and Texas — don't currently impose a tire-specific fee.
For the full state-by-state breakdown, see the U.S. Tire Manufacturers Association resource page.
Why the Usual Shopify Workarounds Don't Work
Shopify doesn't support conditional, per-unit fees at checkout. You've probably seen or tried these workarounds:
- Raising your tire prices to absorb the fee. Now you look more expensive in every state, including ones that don't charge the fee. And you lose the separately stated line item that regulators expect.
- Adding a "tire fee" product and asking customers to add it themselves. Fees get missed, checkout feels clunky, and you're relying on your customers to do your compliance for you.
- Editing orders manually after the fact. Slow, inconsistent, and the first thing that falls apart when you're busy.
None of these give you what you actually need: the right fee, on the right products, for the right state, shown as a clear line item — automatically.
How to Set Up Tire Recycling Fees With Magical Fees
Magical Fees lets you build fee rules that match how tire recycling fees actually work — per unit, by state, as a visible line item. Here's how to set it up.
1. Tag or collect your tire products
In Shopify, tag your tire products or add them to a dedicated collection — something like "New Tires." This gives your fee rules a clear target.
2. Create a tire recycling fee rule
In Magical Fees, create a new fixed-price fee. Give it a name your customers will understand — "State Tire Recycling Fee" works well.
Set the amount to the per-tire rate for the state you're covering. If you sell into multiple states with different rates, create one rule per state. Each rule gets its own amount.
Target the rule to your tire collection, and set it to calculate per unit (per tire in the cart), not per order.
3. Add a location condition
For each rule, add a location condition so it only fires on orders shipping to the relevant state. Your California rule charges $1.75 per tire only on California orders. Your Florida rule charges $1.00 per passenger tire only on Florida orders. Orders to states without a tire fee won't see any charge.
4. Test it
Place a test order shipping to a state where the fee applies and one where it doesn't. Check that the fee shows up as a separate line item, the amount is correct per tire, it scales with quantity, and it doesn't appear for exempt states.
Once it looks right, leave the rules active. Magical Fees handles the rest.
Common Questions
Do you charge sales tax on the tire fee?
It depends on the state. Some states tax the fee, others don't. Check your state's revenue or environmental agency guidance, or ask your tax advisor.
What if you sell into many states?
Create multiple fee rules — one per state — each with its own rate and location condition. Magical Fees evaluates all your rules on every order and only applies the ones that match.
What happens if you don't collect the fee?
Retailers who fail to collect and remit state tire fees face penalties from their state's environmental or revenue agency. That can include fines, back-payment of uncollected fees with interest, and potential loss of business licenses. It's not worth the risk.
Further Reading
Always label deposits separately for compliance
Display bottle deposit fees as a clearly labeled, separate line item at checkout and on receipts. This meets regulatory transparency requirements, builds customer trust by showing exactly what they're paying, and makes it significantly easier to track deposits for reporting and audits. Use a clear label like "Bottle deposit" or "Container deposit (CRV)" so customers immediately understand the charge.
“Magical Fees is the only fee app that allows you to apply a fee based on a specific or individual state/province situation. All the other apps we tested only allow 'Location' (the entire country) which is a major limitation. The solution Magical Fees applies during the Cart to Checkout process is very smart and not a hassle. Very easy app to setup and the support was great.”