TAX EXEMPTED INVOICES

plockermanplockerman Member Posts: 3

Is there a methodology for invoices that are sent to tax-exempt entities (churches etc.)?
How do I wave tax on those invoices?
What do you do?

edited January 31, 2019 in Sales & Invoicing

Comments

  • SophiaSophia Administrator Posts: 147 admin

    Hi @plockerman, the answer to this depends on where your business is located and the requirements of the tax authority there. For example, in Ontario, where Wave is located, registered charities pay sales tax up front, and then apply for reimbursement for a portion of that tax from the government.

    The situation may be very different where you are, and depending on the law it's possible the easiest way to do this is to just not apply sales tax to the items on the invoice. However, to ensure your business stays compliant, I'd recommend double checking with your accountant or the tax authority in your location :)

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