Sales Tax

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   Our store number is 289.

When processing an order in a state where we are required to collect sales tax, SalesCart is including the shipping charges in the tax calculation even though "Apply Tax to Shipping and Handling" is unchecked in Store Details.  Is there some other setting I'm missing that might be causing this?

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Encoder Members Profile Send Private Message Find Members Posts Add to Buddy List Groupie Joined: January/06/16 Location: Idaho Status: Offline Points: 72	Post Options Post Reply Quote Encoder Report Post Thanks(0) Quote Reply Topic: Sales Tax Posted: July/27/16 at 3:16pm
	Our store number is 289. When processing an order in a state where we are required to collect sales tax, SalesCart is including the shipping charges in the tax calculation even though "Apply Tax to Shipping and Handling" is unchecked in Store Details. Is there some other setting I'm missing that might be causing this?

admin Members Profile Send Private Message Find Members Posts Add to Buddy List Admin Group Forum Administrator Joined: March/11/04 Status: Offline Points: 329	Post Options Post Reply Quote admin Report Post Thanks(0) Quote Reply Posted: July/27/16 at 9:28pm
	Many of the details in the Store Details are from our previous versions of the Shopping Cart that we are pushing into release based on demand. So we will look at this and see about getting added to the agile sprint for you. In plain language that means we would try and get that functionality to work by next full week Monday (8/8/16) assuming it is easy enough to add. I am escalating the issue for you now. Edited by admin - July/27/16 at 9:29pm

Encoder Members Profile Send Private Message Find Members Posts Add to Buddy List Groupie Joined: January/06/16 Location: Idaho Status: Offline Points: 72	Post Options Post Reply Quote Encoder Report Post Thanks(0) Quote Reply Posted: July/28/16 at 9:52am
	I'm surprised this hasn't been an issue before since most states do not require sales tax be collected on freight charges. Ideally, whether or not to collect tax on freight charges should be an option in the Configure Taxes panel of Store Administration so that taxes on freight charges can be collected in states where required and not where it isn't.

admin Members Profile Send Private Message Find Members Posts Add to Buddy List Admin Group Forum Administrator Joined: March/11/04 Status: Offline Points: 329	Post Options Post Reply Quote admin Report Post Thanks(0) Quote Reply Posted: July/28/16 at 2:09pm
	Actually the law for most states is the other way around. Tax on freight follows the transaction. If the goods are exempt, the freight and handling is exempt. Basically, if shipping is a 'condition' of sale it is taxable. On the Internet, it is 99% of the time a necessary thing. Google "sales tax on freight". First paragraph

Encoder Members Profile Send Private Message Find Members Posts Add to Buddy List Groupie Joined: January/06/16 Location: Idaho Status: Offline Points: 72	Post Options Post Reply Quote Encoder Report Post Thanks(0) Quote Reply Posted: July/28/16 at 4:11pm
	Not to get into an argument here, but that statement is an over-generalization and is largely incorrect when considering many common factors. In most states, sales tax becomes non-taxable if freight occurs after the point of title transfer (FOB Factory), freight is by common carrier and freight charges are separately stated. There are a small number of states that do not allow these exceptions, but they are currently by far not the norm.

admin Members Profile Send Private Message Find Members Posts Add to Buddy List Admin Group Forum Administrator Joined: March/11/04 Status: Offline Points: 329	Post Options Post Reply Quote admin Report Post Thanks(0) Quote Reply Posted: July/30/16 at 12:01pm
	If you look at the second link, there is an article that discusses state by state. The vast number of customers tax freight. We can make this happen for you but accounting has your account on hold. I'll send you a PM>

Meltus Members Profile Send Private Message Find Members Posts Add to Buddy List Newbie Joined: September/23/16 Status: Offline Points: 2	Post Options Post Reply Quote Meltus Report Post Thanks(0) Quote Reply Posted: September/23/16 at 12:30pm
	Does SalesCart deal with state tax automatically?

admin Members Profile Send Private Message Find Members Posts Add to Buddy List Admin Group Forum Administrator Joined: March/11/04 Status: Offline Points: 329	Post Options Post Reply Quote admin Report Post Thanks(0) Quote Reply Posted: September/23/16 at 12:34pm
	Yes, but you have to enter the rates for the state or country that you want to charge.