Why Intuit collects sales tax on the shipping and handling fee

Although some states do not require sales tax on a separately stated, reasonable shipping charge, this charge is generally regarded as taxable when it is combined with a handling fee. Because Intuit charges a shipping and handling fee, applicable sales tax* is collected on this fee, in addition to the tangible product.

*Excluding Idaho, Massachusetts, New Jersey, and Oklahoma, as these four states do not currently require sales tax on the shipping and handling fee.