What is a default tax and how does it work?

The Default Tax will be used in transactions when tax preference (Taxable/Tax Exempt) is not set for the involved customers.

The first tax you create will be marked as the Default Tax initially. However, you can mark a different sales tax as default as well.

Default Tax can be useful for the following scenarios.

Default Tax is not automatically associated with a customer. It is only used when tax preference (Taxable/Tax Exempt) is not set for the involved customers. You can set the Tax Preference of a customer at anytime.

To mark a different tax as default:

Change default tax

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