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Old 11-21-2019, 02:52 PM
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Rick McQuillan
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Join Date: May 2009
Location: Wisconsin
Posts: 3,178
Default Taxes

Chuck, I don't know where you live, but I live in Wisconsin and delivery charges and shipping charges are subject to sales tax.

5) Delivery Charges
When a retailer sells taxable products or services which are subject to tax and the retailer charges the
purchaser for the delivery, the retailer's total charge, including the delivery charge, is taxable. It is
immaterial whether delivery is made by the seller's vehicle, a common or contract carrier, or the United
States Postal Service.

The correct state tax computation to be shown on an invoice when the retailer charges the purchaser for
delivery of the product is shown in the following example:
Merchandise $ 100.00
Delivery Charge 10.00
Subtotal $ 110.00
Tax ($110 x 5%) 5.50
Total $ 115.50
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