I have a customer with a special partial exemption with a state. I need to make a entity use code to have that taxability.
- Go to Organization > Tax Rules under the company that needs this.
- Create a new Tax Rule.
- Select the location this partial exemption is for, and hit Next
- Enter a name for your new tax rule
- Choose Base Override Rule type and choose which tax types you want to make it for.
- Example: If the customer is to be taxed at 50% of the tax rate for that state you will put 50% as the Base Override %.
- In the Entity Use Code field type in what you want your custom Entity Use Code to be.
- Leave the tax code blank unless this is only for one product type.
- If it is for only one product put the tax code in which this product is mapped to.
- Make your date range what you would like it to be.
- Click Finish
Now any transactions in that state which you made the rule for that have this entity use code will calculate at the percentage of the rate which you defined.