Tax Exempt
Tax Exempt options help you waive sales tax for customers who are certified exempt. These override automatic calculations and help to track certification and exempt status.
Automatic calculations, using a Tax Status or service like TaxJar, may determine that no sales tax is collected because a transaction is out-of-state or items are non-taxable.
Tax Exempt applies to taxable transactions where tax is calculated and would normally be collected, but overrides so no sales tax is collected for the customer who is exempt.
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