Tax Exemption and Wholesalers

These settings effect prices only on goods carrying sales tax. Each product can be purchased including or excluding tax. Tax exemption takes precedence and overrides any Wholesaler setting (ie the wholesaler checkbox has no effect on tax exempt documents). Sales prices are effected in the following manner for the possible combinations of purchase method and sales settings:

Purchased	Sold	Price Calculation
Tax inclusive	Normal	No tax calculation necessary
	Wholesale	Tax on the gross profit is added to the price
	Exempt	Sales tax on cost is removed from the price
Tax Exclusive	Normal	Tax on cost price is determined by tax rate
	Wholesale	Tax on sell price is determined by tax rate
	Exempt	No tax calculation necessary

Each sales document can nominate whether sales tax exemption and or wholesale sale applies. These two customer fields define the default values for these sales document settings. Thus what you enter into the Tax exemption and Wholesaler fields on a customer are only defaults and can still be changed at the point of sale.