How to Exclude Memberships from Sales Tax

Problem

Membership invoices are generating tax even though memberships are set to not be taxable.

Solution

1. Go to the navigation bar and click Pricebook.

2. Select the specific tasks that are used exclusively for memberships.

3. Make sure the Taxable option is not selected for those tasks.

4. Click Save.

As an alternative, you can create a business unit for memberships and set the default tax rate for the business unit to 0.0%. Then assign all memberships to the business unit created for memberships.