Help! Shopping Cart ignores 'exclude tax' display setting on shipping

Hi,

Step 1) I add a 10% ‘standard rate’ tax (called GST) which applies to shipping. In settings, I set “Display prices during cart/checkout:” to “Exclude tax”.

Step 2) The Cart page incorrectly “includes tax” for shipping. This is a theme problem as the shipping amount is correct on the Checkout page.

See screenshots attached.

I cannot launch my shop until this is fixed! — please help!

Many thanks,
– Mike

Highend 1.7
WordPress 4.0
WooCommerce 2.2.4