Submitted by Will on August 11, 2011

Q: I have marked some customers as tax exempt in their information box in Point of Sale (POS), but my QuickBooks financial tax liability and tax summary do not post the "tax exempt sales. I have been having to locate it in other POS reports.

A: This is a bug and I’m not sure why they don't fix it.  What is happening is that although the sale is exempt and the right amount of tax is being collected, the customer is not being set as non-tax. We train never to use the exempt box. It is much more useful to set up tax locations for the various types of exempt customers you have. For example, tax location reseller and another out of state.  In this way, the POS report will be much more useful and you can ignore the QBF reports.