The sales tax liability for any shipping and handling charges applied to an item is automatically calculated based on the Ship Via value for that item line. These charges are determined by the preset Shipping Item configuration assigned to the Ship Via value.
The Shipping tab shows the shipping and handling details for each shipment associated with the transaction. If multiple item lines have the same Location and Ship To value, this will appear as a single line on the Shipping tab.
The Tax Detail tab has three lines for each item line to show the full breakdown of the tax calculation.
To set shipping and handling charges for a shipping item, follow these steps:
- Go to Lists > Accounting > Shipping Items.
- Click Edit in the row of the shipping item.
- In the Display Name/Code field, enter a name for this shipping item. This will appear as the Ship Via value on the transaction.
- Use the tabs to apply shipping and handling details as needed.
- Click Save.