# 🔓 Tax Exempt for Eligible Customers & Orders

Give your customers fairness and flexibility with **tax exemption** — letting them enter valid tax IDs during checkout and automatically remove tax when they qualify. This module ensures tax-exempt customers aren’t overcharged, while keeping your store compliant and clear.

<div data-with-frame="true"><figure><img src="https://1478990334-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FGolQYRPH9iUGYatlTXwl%2Fuploads%2FDeqOdtg8u0FWj1Ew8h9J%2Fimage.png?alt=media&#x26;token=a6ad4910-a45b-40cb-aa2d-4a63f6cbbfdd" alt=""><figcaption></figcaption></figure></div>

## 🚀 How It Works: Key Features

* Display a **VAT / Tax ID input box** on the cart page, so eligible customers can submit their number.
* Automatically **deduct tax** from orders when a valid ID is entered and accepted.
* Link your app’s tax settings with Shopify’s tax configuration to ensure consistency.
* Optionally apply a **discount equal to the tax amount** if you’re using tax-included pricing.
* Support validation of tax IDs in several countries/regions (for now, five supported areas).
* Tag tax-exempt orders automatically based on your rule settings.

## ✅ Setting Up Tax Exempt

### **Step 1: Enable the Feature & Go to Configuration**

Toggle on **Tax Exempt** in your app’s tax settings, then head to the configuration area to begin setup.

### Step 2: General Settings

* Choose whether to **show the VAT validation box** on the cart page.
* Decide if the system should **add a discount** to exclude tax from prices for qualifying customers.
* If a customer is set as tax exempt but you’re using tax-inclusive pricing, the app will subtract the tax amount as a discount.
* Select which **customer groups** or tags this rule should apply to.
* Limit validation to certain **countries** as needed (for example, only EU countries).

<figure><img src="https://1478990334-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FGolQYRPH9iUGYatlTXwl%2Fuploads%2Fq0jJvRkARgjpZwKDzOSL%2Fimage.png?alt=media&#x26;token=253c9dd4-3667-42cc-94cf-b54d070f1918" alt=""><figcaption></figcaption></figure>

<figure><img src="https://1478990334-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FGolQYRPH9iUGYatlTXwl%2Fuploads%2FTW46uUy6Rz5ehCnfGDMH%2Fimage.png?alt=media&#x26;token=6caf5f57-b9fb-4bdf-9beb-1c4521f2617c" alt=""><figcaption></figcaption></figure>

<figure><img src="https://1478990334-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FGolQYRPH9iUGYatlTXwl%2Fuploads%2FG14KXidRblGLJYmD1IE0%2Fimage.png?alt=media&#x26;token=1c4ea3cc-b2c0-4baf-a271-c065bca3a409" alt=""><figcaption></figcaption></figure>

{% hint style="info" %}
At the moment, we only support tax ID validation box on Cart page, so if **Show VAT Validation box on cart page** is unchecked, this feature will not work.
{% endhint %}

In **VAT Exempt on Cart Page,** you can choose how your tax settings behave on Cart page

<figure><img src="https://1478990334-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FGolQYRPH9iUGYatlTXwl%2Fuploads%2F9yyVS34uTo1sYfxDaGHm%2Fimage.png?alt=media&#x26;token=47dedf02-c2f8-4d26-9190-e435720ac48d" alt=""><figcaption></figcaption></figure>

In **Apply to Customers**, you can choose the customer groups the rule applies to

<figure><img src="https://1478990334-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FGolQYRPH9iUGYatlTXwl%2Fuploads%2FDAWcVYX2eeZ9NmVILUlK%2Fimage.png?alt=media&#x26;token=e2fa179f-6e2c-482d-b2e8-0a4b8120afda" alt=""><figcaption></figcaption></figure>

In **Select EU VAT for specific countries**, you can enable this and select countries this rule applies to&#x20;

<figure><img src="https://1478990334-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FGolQYRPH9iUGYatlTXwl%2Fuploads%2F25yeWnBtBxatW08ZYL7b%2Fimage.png?alt=media&#x26;token=cbe55f3f-4154-4207-8a62-cec29ded90eb" alt=""><figcaption></figcaption></figure>

### **Step 3: Save & Activate**

Once your preferences are set, click **Save** to make your tax exemption rules live.

## 👀 What Customers See

On the cart page:

<figure><img src="https://1478990334-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FGolQYRPH9iUGYatlTXwl%2Fuploads%2F8hiVxM4ErMfYU9PmKpJB%2Fimage.png?alt=media&#x26;token=7618bf56-0980-4fea-a2a0-bf2c716cbbc2" alt=""><figcaption></figcaption></figure>

If customers type in validated tax numbers, tax will be deducted from their order.&#x20;

<figure><img src="https://1478990334-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FGolQYRPH9iUGYatlTXwl%2Fuploads%2FvqAF3SfOgzWVxZmFeDUB%2Fimage.png?alt=media&#x26;token=ef50b260-f3ad-455a-99bd-1792ffc4ded4" alt=""><figcaption></figcaption></figure>

## 📦 Bulk & Design Options

* Use the **Bulk Tax Exempt** tool to apply tax exemption rules to large groups of customers at once.
* Customize and **translate field labels, messages, and design** to match your storefront’s look and feel.

{% hint style="info" %}
If you come across any issues, please contact us via [**support-sbc@bsscommerce.com**](mailto:support-sbc@bsscommerce.com) or [**Live Chat**](https://go.crisp.chat/chat/embed/?website_id=9f64b5a9-1a02-4190-93b8-8ef56b19f740) for further assistance.
{% endhint %}


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