What you'll do
Create each rate once, then pick it with Add Tax on a quote or invoice. Line items carry a tax category so labor can be exempt while materials are taxed at the same rate.
Do this
- 1
Settings → Tax Management → Create tax rate
Name (for example NJ Sales Tax), percentage, and whether it is the default for new quotes and invoices.
- 2
Tax categories on line items
Every line has Standard (taxed at the rate), Labor (exempt), Reduced (taxed at a reduced rate you define), or Non-taxable. Items marked Tax-exempt in Products & Services default to Non-taxable.
- 3
Don't collect tax?
Choose the explicit no-tax option in the setup guide's Tax settings step so invoice readiness stops flagging tax as unfinished.
- 4
QuickBooks
If QuickBooks is connected, map each Zentive rate to a QuickBooks tax code on the QuickBooks settings page. Since September 2026 an unmapped rate stops the invoice from syncing and shows a clear error instead of guessing.
Ask your accountant
Which services are taxable varies by state. Zentive applies whatever you configure; it does not decide taxability for you.
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