I have read a lot of materials online about tax classes and such in Magento, but am still unable to answer this question: how can I make certain products tax exempt for both product price and shipping?
For example, product A is £25 and is tax exempt. I can easily set the tax class to apply no tax, and simply have £25 as the product price. However, whenever shipping is processed, a 20% tax will always be separated from the overall delivery price. For example, if delivery was £2, it would be processed as £1.60 + £0.40 tax.
What combination of settings do I need to use to ensure that tax-exempt products show a fixed product price and a fixed shipping price, while other products (subject to tax) separate out tax from the product price and the shipping price?