Problem with Taxes

[icecold]

I have an issue with taxes, they are charged to everyone no matter where they are, we only charge taxes for NJ residents.

Can you please explain the way it must be configured in order to charge Sales Tax only to NJ?

What I have is:
in Admin>Locations/Taxes>Tax Rates>Priority Tax Class Zone Tax Rate Action
1 Taxable Goods New Jersey 7.00%

and in

Admin>Modules>Shipping>USPS>Tax Class
Use the following tax class on the shipping fee.
Taxable Goods

Tax Basis
On what basis is Shipping Tax calculated. Options are
Shipping - Based on customers Shipping Address
Billing Based on customers Billing address
Store - Based on Store address if Billing/Shipping Zone equals Store zone

Shipping
Billing x <<< Selected
Store

[mamasylvia]

You need to set up NJ as a Zone, then set the tax rate for NJ only. I generally try to give better instructions, but setting up zones is a colossal pain and I haven't mastered it myself -- see the tutorial, maybe you can do better than I have.

[icecold]

Hi,

Thanks anyway, I figured it out myself a little earlier, it was kind of confusing but I checked the only option left in admin ...

I configured NJ tax and it worked like a charm!

under details, I found there was an insert I haven't tried so I configured NJ Tax zone in the US and voila! Everything started to work ...

[Justin3085]

I configured mine the same way however EVERYONE is still getting charged NJ Sales Tax. I have one zone, defined as NJ with tax rate of 7%. Tax is used on shipping address. Not really sure where to look next since every thread I find leads in a dead end or someone saying they figured it out but not giving specifics.

[DrByte]

You probably don't have any zones defined to your zone definition. Did you explicitly choose USA and New Jersey from the pulldowns in order to restrict the zone to just that region?

ie: see the FAQ/Tutorials section for answers to common questions such as setting up taxes: https://www.zen-cart.com/tutorials/index.php?article=76

[zcjon]

Dr. Byte, I have the same problem. I even deleted my sales tax configuration for Virginia and followed the tutorial again with the same result. Here is my configuration:
Basis of Product Tax: shipping
Basis of Shipping Tax: shipping

Zone Definitions - Taxes, Payment and Shipping
Zone Name - Virginia Zone Description - Virginia Sales Tax (zone status is green)

Here is the information from the information box to the right of the entry for Virginia:
Number of Zones: 1
Number of Tax Rates: 1
Date Added: 04/05/2010
Description: Virginia Sales Tax

Under Details is shows:
Country United States Zone Virginia

In Tax Rates is shows:
Priority Tax Class Zone Tax Rate
0 Taxable Goods Virginia 5%

In the Shipping Module I am using the table rate with these settings:
Shipping Charge
Enable Table Method
True

Shipping Table
200:24.00,100000:12%

Table Method
price

Handling Fee
4.50

Tax Class
--none--

Tax Basis
Shipping

Shipping Zone
--none--

Sort Order
0

I have a test customer with an in-state billing address and the same in-state shipping address and a second out-of-state billing address. When I create an order for that customer and choose the in-state shipping address the sales tax correctly computes on only the product cost. However when I create an order choosing the out-of-state address it still computes the tax on the product cost. In a post from Feb '09 from a user in TN who had this same problem you said:

csmith's problem is that they've not properly defined their Tennessee zone to be limited to Tennessee, and it's actually referring to the entire country.

I think I have the Virginia Zone correctly identified as being a zone inside the US but maybe I'm missing something. I have emptied my cache several times to make sure it's not picking up old data but nothing helps. I am running version 1.3.8a. I'm sure it's simple but I'm not catching it. Help?