Vat Calculation

Can anyone help with this? My checkout is not calculation the added 20% VAT currectly as this example shows. Somehow the maths in CS Cart seems to have malfunction and i can see no where to fix this error.

Order summary

			1 item(s)
VAT (20%)

seems like vat is only being calculated on the shipping.

Have you got tax added to the product nod not tax free