You have a tax code that is calculating tax when it should be nontaxable in certain states.
- Check your custom codes in the admin console.
- If you create a new tax code using an AvaTax tax code, any system rules for that code will be overwritten.
- That tax code will become 100% taxable unless custom tax rules are applied to it.
- If you would like the system tax rules to dictate the taxability of this tax code, you will want to delete it from the custom tax code list.