Walkthrough: Free items and taxes
Tax Management for Drink-IT
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Article
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7/6/2023
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When an item is given for free to a customer (or from a vendor) and the customer is normally charged for the tax, you probably don’t want to charge that customer with the tax in this transaction.
In this case you can setup a second rule that is the same as the one that is normally used but now you add a Reason Code to the rule and set the Movement Type for that rule to Taxed.