Hi @lvanderlaan,
Thank you for reaching out to us. I understand how important it is to ensure that your store complies with local tax regulations. Firstly, could you please confirm if you have set the tax status for your shipping rates to ‘Taxable’ in the WooCommerce settings? This is a crucial step as it allows the system to apply taxes to shipping costs. You can find this setting by navigating to WooCommerce > Settings > Shipping and editing your shipping zones. Within each shipping method, there should be an option to set the tax status.
Additionally, in the tax settings, there’s a checkbox for ‘Shipping’ which needs to be checked to ensure that shipping costs are taxed. This can be found under WooCommerce > Settings > Tax. Make sure that this box is checked for all relevant tax rates.
Since you mentioned that you have a nexus in Illinois, it’s also essential to ensure that your tax rates for Illinois are correctly entered. For automated tax calculations, the system should handle this, but it’s always good to double-check. You can review the tax rates under WooCommerce > Settings > Tax.
If you’ve already checked these settings and the issue persists, could you provide me with the following additional information?
- A screenshot of your tax settings, particularly the tax rates for Illinois.
- Details on whether you’re using any third-party shipping plugins or services that might affect tax calculations.
Please let us know if you need any further assistance.