Hi there,
Thank you for reaching out!
In California, delivery is taxable if you are a restaurant. We have listed the “shipping class tax” as “Standard”. But no tax is being calculated on shipping.
I understand that you’d like the tax to be calculated for shipping but currently, it isn’t.
If you’re using manually added tax rates – can you please check if the “shipping” checkbox is ticked in WooCommerce >> Settings >> Tax >> Standard Rates?
https://d.pr/i/AYIGYx
https://docs.woocommerce.com/document/setting-up-taxes-in-woocommerce/#shipping-tax-class
If you’re using automated tax calculation though – it will not be possible to change whether tax is applied to shipping or not since that information is fetched from ShipStation. As a workaround, I’d suggest disabling automated tax calculation and entering tax rates manually.
If you believe this is a bug – feel free to report it in the GitHub repository of WooCommerce Shipping & Tax extension:
https://github.com/Automattic/woocommerce-services/issues
Thank you!