Sales Tax question

Business
1

(In the United States), do you calculate Sales Tax before or after Shipping & Handling changes?

Also, what is the logic behind doing it one way versus the other.

TomTees

2

Well has anyone bought anything online - in the U.S. - lately?

I don’t shop at Amazon anymore and unless I set up an account and buy something online there is no way for me to see what they charge Sales Tax on.

TomTees

3

Some areas charge sales tax on a
“service” while others do not. “Handling”
is really a service charge so it may
or may not be handled as a taxable
item.

4

So I would have something like this…


Description	Price
-----------	-----
Blue Widgets	$5
Red Widgets	$10
Green Widgets	$3
----------------------
Sub-Total	$18
Sales Tax	$2
Shipping	$5
----------------------
Grand Total	$25

when I build the Shopping Cart??

TomTees

5

You should check with your CPA on any tax questions as rules can differ but generally tax is on the product/ service, not handling.

6

Any one at all?