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How New Jersey Handles Tax on Shipping

Learn how New Jersey handles sales tax on shipping charges

Updated this week

In New Jersey, shipping charges follow the taxability of the goods being shipped.


General Rule

Taxable: Shipping is taxable if taxable goods are shipped.

Exempt: Shipping is exempt if all items in the shipment are exempt.


Handling Charges

Handling fees and combined “shipping & handling” charges are always taxable.


Best Practices for Compliance

  • List delivery charges separately on invoices.

  • Check mixed orders carefully — taxable items make the shipping taxable.


Example

  1. Shipping taxable electronics for $600 with $30 delivery → $30 is taxable.

  2. Shipping exempt groceries with $30 delivery → $30 is exempt.


Stay Compliant with Kintsugi

New Jersey’s rules are straightforward but can be tricky with mixed orders. Kintsugi Intelligence ensures the correct treatment automatically.


⚖️ Important Notice: Sales tax regulations are subject to change without prior notice. For guidance tailored to your business, please consult a qualified tax advisor.

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