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nholzmann01
Level 2

If I have a tax exempt customer (they resell my services) and I'm charging for a project, why is sales tax charged on the invoice?

I have a customer who resells my services. All taxable services are tax exempt for this customer. The customer is correctly marked as tax exempt. When I create an invoice for the customer, no tax is charged. BUT... if I create a project and then assign the same product/service (that's tax-free to the customer) to the customer's project, then QBO wants to charge sales tax for the product/service. HELP! Thanks in advance.

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