Why are entity use codes not working in AvaTax?

Overview

I have been trying to use the calculator to make an exempt transaction and no matter what reason I choose tax doesn't drop.

Environment

Avalara AvaTax

Resolution

• This will happen if you are set to Required in Exemption Certificate Options.
• Click Settings>Exemption Certificate Options and toggle to Optional so Entity use codes alone will allow Avatax to consider someone exempt.