Magento: Sales tax collection for exempt customers

In order for sales tax to not calculate for tax-exempt customers, first confirm the following in your Magento store Admin:

• Delete any old tax tables that currently exist
• TaxJar backup for Tax-Exempt customer classes needs to be unselected.
• Make sure the customer tax class is assigned to a target customer group, for example, Retail, Wholesale, etc. 
• Make sure the specific customer is properly assigned to the target customer group.
• Other settings in the customer configuration should view like this:

• Once these steps have been completed, please re-sync your nexus addresses. From here, sales tax will not calculate for tax-exempt customers set up in Magento. 

Please note that with version 3.0.0+ of TaxJar's Magento 1 plugin, these sales will be automatically categorized as exempt when they are imported into TaxJar.

• If you are using a version of our plugin prior to 3.0.0, these sales will not be classified as customer exempt automatically, and you will need to use the method outlined here in order for the Expected Sales Tax Due (and AutoFile) to treat these sales as exempt.
• You can download the new Magento 1 plugin code from Github or from Magento's Marketplace.