Change an Inventory Item's Tax Exempt Status
        To change the tax exemption status of an inventory 
 or service item:
        
            - Open the record for the inventory item. 
How?- In the Home window, click Inventory & Services on the navigation pane.
 - In the Tasks pane, right-click  the Inventory & Services icon and select Modify Inventory & Services from the menu.
 - Select an inventory or service item from the list and click OK.
 
 
            - On the Taxes tab, 
 select a Tax in the table and click on the 
 current Tax Exempt setting to turn exemption 
 on (Yes) or off (No).
 
            - Click Save 
 and Close.