Sales Tax Charged on Shipping and Handling

CALIFORNIA – Online shoppers in California are now paying sales tax on shipping and handling. According to the Board of Equalization, sales tax should be collected when a seller makes a combined charge for shipping and handling or postage and handling if the invoice does not show the actual cost of the individual delivery.

If the goods are carried by a trucking company or the US Postal Service then the shipping charges are not taxable because it is listed as a separate charge. When the charge for goods is combined with the shipping and handling then you will paid taxes.

In Amazon’s “sales tax requirements” section, it makes clear to buyers that in many states where it does business, the levy applies to more than the price of the product.