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Avalara Help Center

Why does my Non-taxable item still show a rate?

Overview

When reviewing transactions it shows a rate and you're wondering why

Environment

AvaTax

Resolution

  • As long as nexus is activated for the transaction regardless of Exemptions or The taxability of the item Avalara will display the rate for the jurisdiction  
    • The rate can only be altered using a Rate Override rule or tax codes that have a reduced rate.