Delivery and service fees - what am I being taxed on?

[LolaMarie]

I am wondering if someone chooses delivery and is charged the delivery fee and if they include a tip, am I, the shop owner being taxed on the total including those fees or just what I am owed for the items purchased? 

[Alex_]

Hello @LolaMarie,

Thank you for posting in the Seller Community. Welcome.

When applying tax rules, the taxes are applied at the item level, not on any extra fees or tips. 

Please let me know if you have any other questions by replying to this thread.