Calculating Sales tax

Hello Everyone,
    I am confused about charging Sales tax on purchases. How
do I
fingure out how much tax to calculate ? Is it where the
bussiness is or
the Customer address ??? Do I charge tax on online sales or
not ??
Seems like a very basic question but am not a big online
shopper and
this is the first time I had to do this 

   I know I can send a Tax table with my cart but what I am
not sure on
is am I suppose to account for each and every zip code in
the country
if I am to charge tax according to the Customer's Resident
? That can
be a bit of a pain. And if its that then does any one have a
XML doc
with all the taxes defined already. 

Thanks in advance,

Adil


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