How to classify your wholesale orders and items sold to tax exempt organizations

If you sell wholesale items or make sales to exempt entities such as government or educational institutions, you need to designate these transactions in your TaxJar account as exempt from your Transactions tab. 

If you want to mark individual transactions, click on the transaction directly and the individual transaction details will appear.

  1. At the bottom, you'll see the option to apply an exemption reason: 

  2. Once marked, your account will refresh and confirm the transaction exemption has been applied: 

    💡 If you do not see the option to apply an exempt reason, this is because sales tax was collected. 

You can select several transactions in bulk and apply an exemption.

  1. In the  Transactions tab of your account, you can click several checkboxes or click into the top left checkbox to select all.
  2. Once checked, the option to mark these transactions will appear at the top. Select the reason and multiple transactions will be marked! 

    💡 Tip: To unmark transactions, we provide the option "Not exempt" which will undo marking transactions as exempt. 

Once you've applied these reasons to your transactions, your Reports will reflect accurately on sales that did not collect sales tax. 

We are also working on functionality to allow you to automatically designate sales made to specific customers as exempt for a specific reason, so you don't need to designate them one at a time. Click here to request to be notified when this feature becomes available.