Hi,
The goal of having this "floating tax prices" setting turned on is that the end price is always the same, regardless of taxes.
So for example, if you have a price at 10€, whether the taxes are 20%, 10%, 5% or 0%, the end price will always be 10€, and it's the price without taxes and the taxes amount which will vary to accommodate this.
Knowing that, when I read
if "Floating Tax prices" is configured, the VAT is not removed from the price.
in your message, it seems to me that HikaShop does exactly what it is supposed to in this mode and that you actually might not want to turn on that setting if that's not what you want.