Taxes should be set as default tax amount, and the other options should be set as exemptions. This would be the easiest way to resolve the issue and loophole. When setting up taxes, in the commerce section, there should be an option to set up 'default' taxes collected. Then the Add Country option would be overrides and exemptions where the tax amount is set based on the shipping address. I believe this is the simplest way to resolve this. I don't think it would be a major recoding on your side of things, and it would lock down this loophole.
Hi, there is a serious loophole that I need to know when you'll fix this. I've had a couple of discussions with your technical department with the acknowledgment that this is a loophole. I need some forecast of when it will be corrected. To rehash the problem. When setting up the taxes, each area has their designated tax amounts. When doing free shipping or in my case free pick-up, the taxes should be based on the local taxes, not the billing address of the customer. Savvy customers are discovering they can avoid the local tax amount if they have a credit card in a jurisdiction that i