Shopping Cart Math is Screwy!

[duncan12]

It should be simple. Product is 25.00. Tax on product is 2.13, calculated by AvaTax at 8.5%. Shipment is 6.95. No tax rules on shipping. So:
   25.00 (product)
+ 2.13 (tax)
+ 6.95 (shipping)
= 34.08 (TOTAL)

But that is not what I am charged. I am charged 32.54. $32.54? What?

How does VirtueMart come up with this number? Hold your pants:
$25 (product)
$ 2.13 (tax)
$ 6.95 (shipping)
$-2.13 (tax?)
$  .59 (shipping tax)
$32.54. (TOTAL)

The end result is No tax charged on the product, and .59 charged on the shipping. This is the exact opposite of my configuration and is completely screwy! It shows the tax on product being charged in the cart. But then it removes the tax amount and charges tax on shipping. WTF?

I am on VirtueMart 3.0.12 and Joomla 3.4.8. No Overrides. Default Joomla Template: Protostar

[duncan12]

Seriously, this is screwy and can't possibly be right. Virtuemart charges tax on shipping, but no tax on the product. That is the exact opposite of my settings.

My shipment methods say Tax: Apply No Rule
My AvaTax is set to Tax Per Bill.

Somehow it applies tax to my shipping. And no tax to my products? WTF?

Somebody? Anybody?

[GJC Web Design]

see http://forum.virtuemart.net/index.php?topic=133150.msg461306#msg461306

[duncan12]

That was a dead-end.

There is no logical reason why virtuemart should show the correct tax $2.13 for my products in the cart, then when adding up the total at the bottom, remove the $2.13 and randomly charge me for shipping tax at $0.59, when there are no tax rules being applied to my shipment method.  It is nonsense.