How does Pulse Commerce handle tax rates and tax exempt status for customers and products?

Pulse Commerce enables you to set Tax rates and tax exempt status at 3 different levels:
1. Customer level
2. Product level
3. State/Province level

To set tax rates and tax exempt status at the customer level, follow the steps given below:

1. Navigate to the Customers > Search Customers> Edit Customer section.
2. In order to set Customer Tax exempt select the option “Yes’ for the field ‘Tax Exempt:’ and click Save Changes.
     
   
   
   
3. If you wish that the customer should be taxed differently, then select the option “No” for the field ‘Tax Exempt:’ enter a numerical value for the ‘Tax Rate’ field and click the [Update] button. Note: As a result of this Tax will be applied to all orders and it overrides system tax settings.
    

To set fixed tax rates at the product level, follow the steps given below:

1. Go to SiteAdmin > Products > Product Catalog Manager
2. Click the Edit link for the product to which you would like to set as Tax Exempt. The Product Editor opens in a new pop-up window.
3. Under the Simple tab, specify the tax value as Zero for the field ‘Tax %’ and click [Update] button. Note: In order to use system tax Leave Tax Rate blank