The tax rate applied to your order depends on the product sold, the order's destination, tax holidays, and other state exemptions. To keep track of all these regulations, we are using Avalara to calculate the appropriate tax rate and amount.
Sales tax is only applied if the customer's address is located in one of the states listed here.
The sales tax charge is applied to transactions between SPOD and the merchant, which means it is calculated from the amount you are paying for production & shipping, and not your end price.
You can learn more about the existing rules, rates, and exemptions in this article from Avalara: How to handle sales tax on shipping: A state-by-state guide