Customer Tax Exempt Automation at the Customer Level

[Flowerman]

The ability to have all "Tax Exempt" Customers automatically not charged Sales Tax at the Customer level and not the Item Level. By current tax LAW there are items that are taxable while the customer is tax exempt on the sale. While Square allows you to add a tax exempt status by adding their Tax Exempt ID number in the customer setup, it fails hugely in the execution of the sale. From not removing the sales tax to also not reporting it without the ability to classify Taxable verses Non taxable Sales. For this reason alone they will be never beat out their competitors for accurate reporting and handling of Non-Taxable Sales.  

I've seen this issue posted for several years, with no updates to the software as of today 05/08/2023. Please listen to your customers and make this simple change without sending it over and over again to Feature Requests. If they can't handle it, hire a new team who can. 

[bkkpr]

We have customers (Non-profits, government entities, etc.) that should be tax-exempt. I have marked them as such on the Square Dashboard on their Customer Information (date of Tax-Exempt status) and I have added notes but when they get rang up on the POS the cashiers (any one of 5 we have) does not see the note that they do not get charged taxes.  And I am always getting calls from these customers reminding me they are tax-exempt.  Can you please make it, so they do not get charged on the POS. 

[VScrubs]

This plus a reporting feature would be nice to incorporate.  Currently we are having to track when the sale was and information for the customer seperately for sales tax reporting which involves more chance of errors when time is worth so much in a small business trying to grow.

[LearninStuffCT]

being able to just click a Tax Exempt button or something similar would be SO HELPFUL.  The bulk of my business is through school PTAs/PTOs or Church groups or Scout groups, etc.  I would love to be able to invoice them through square without having to go to each individual item and turn off the tax and then go back and turn it back on.  

With an inventory of over 500 items, it's burdensome to do this individually, so I typically don't invoice throught Square, instead creating invoices in excel.  But, when I do craft/vendor fairs or birthday parties, etc., it's easy to use Square's invoicing.  Having invoicing from more than one platform is arduous at tax time and I wish Square would make this easier by inputting a tax exempt/no tax button at checkout and in invoicing.  Thank you.

[MayaP]

Hey @funnytown,

Thank you for your suggestion! We understand how helpful it would be to mark customers as tax-exempt and automatically remove sales tax during transactions. This would save time and reduce errors for businesses managing tax exemption certificates. We've shared this feedback with our product team for consideration. If anything changes, we will let you know! 

[JT_at_OT]

Ditto - Ditto - Ditto. As a software engineer, I just don't understand what's so hard about putting a flag on the customer record labeled "tax exempt," and when that is selected for a given transaction, the application knows not to charge tax. It's kind of a no-brainer to me. 🤔

[llumbercompany]

This is an absolutely essential feature. It is far too easy to forget to remove tax from an order or forget that a customer is tax exempt. As a lumber yard, we deal with plenty of customers that are tax exempt and it is a huge pain involving refunding and re-charging if a mistake is made.

[Minion]

Just popping in here myself to say how useful this would be.and echoing the rest of the sellers in this grouple.  I deal with my fair share of agriculture people along with six different auto dealerships who are all tax exempt.  

Is It hard to uncheck the box or sales tax, no., but sometimes when doing multiple invoices at once, with different services and items it gets overlooked.  Once we realize it usually from the customer we have to hen go back, edit re send it.  

[kristen]

👋 Hello there @Minion, @JT_at_OT, and other posters! I saw the status of this request was marked as not currently planned, but it's been a while since that update so I am changing the status back to open so other folks can vote and comment. I will see what kind of update or news I can get from the Product team and when I get it, I'll share that here. Thank you so much for submitting your idea here in the community!

️ Kristen
Square Community Manager
Product Engagement

[Donnie-M]

Yes, it is a pain to edit taxes on a created invoice, especially with a bunch of items.

[WoodCandleCo]

+30,000 up votes for this!

The lack of sales tax exemption at the customer level is absolutely wild. It has made me consider not running invoices through square because its just a pain. I wish Square was better suited for wholesale purchases.