Tax-exempt
A customer or line item that sales tax does not apply to, such as a reseller with a certificate or a non-taxable service.
In Solo Superstars
Mark the customer exempt on their card, or untick "taxable" on a line item. Exempt sales still appear on the sales tax report as non-taxable sales.
Example
A wholesale customer with a resale certificate: their $2,000 order carries no tax line.
Codes shown are the defaults a new workspace starts with. Yours may be renamed or renumbered — check Accounting › Chart of accounts. See the full default chart.
Also called
- exempt
- non-taxable
Related
- Sales tax — Tax you collect from customers on behalf of a state and pass on. It is never your revenue; it sits as a liability until remitted.
- Tax rate — The percentage applied to taxable lines for a given state. New workspaces start with a state-level rate for every US state.
- Invoice — Your request for payment. Sending one books revenue and a receivable; the customer pays through the hosted link.