Hmm ... that's not my understanding ... I'm pretty sure that shipping is taxed in Florida (where I am, anyways).
Found this (http://www.jonescpa.pro/blog/2010/is...tax-purposes-2) link that implies (more searching needed) that if you've got a store-front where someone could come and pick up the product, then the shipping is "optional" and not taxable. If, like me, your store is totally web-based I believe that you need to tax your shipping.
Note: I am neither an accountant nor a lawyer; you should consult your accountant/lawyer for the "right" answer for you.
Anyway, in direct answer to your question if you use your admin's Modules->Order Total and change the sort order so that the Taxes come before the Shipping, then taxes won't apply to shipping.
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