# Set up Tax exempt for customer's order
**Tax-exempt** feature allows you to exclude taxes from a customer's order. The app will display **a tax section** in the cart (**cart drawer and cart page of your theme**) as well as in **our Quick Order Form**, where customers can enter their tax ID before checkout to receive a tax exemption.
For better understanding how to set it up, kindly follow the below instruction:
### Step to manage:
1. From the **App Dashboard page** > Go to the **Add-on features** page > Navigate to the **Tax exempt** section > **Set up tax exempt**:
2. In the **Tax exempt** setting page, set up **name** for this Tax setting and manage its **status** by toggling on and off slider:
If you configure multiple tax-exempt settings, a **Priority** option will appear as shown below. This allows you to set the order of precedence. The higher the number, the higher the priority of that tax setting.
3. In the **Tax exempt general** section, you will set up how the tax exempt should function in your store.
* At the moment, the app supports validating **5 types of tax ID**, tick on the type you want the app to work with (you can tick all or some types only):
* To recognize which order has tax-exempt, you can set up an order tag here. This tag will be auto-added to the customer's order once their order has been tax-excluded from the app:
* **Decide How Tax Is Charged:** This option help you add a Discount to Exclude Tax from Product Prices:
You can choose to **apply a discount to each item** to exclude the tax portion from the product price. If this option is enabled, the system will automatically apply a discount equivalent to the tax amount, as shown in this example:
**Example:**
* Original product price: **$100**
* Applied tax rate: **10%**
* Discount applied to exclude tax: **\~$9.09**
\=> Final product price after discount: **$100 - $9.09 = $90.91**\
(10% tax on $90.91 is approximately $9.09, so the total remains $100)
**Note:**\
If the product already has an existing discount (e.g., wholesale pricing), the tax-exempt discount will be *added on top* of the current discount.
4. In the **Customer condition** section, you can choose which type of customers will get this tax-exempt applied.
It can be for everyone accesses your store or only some specific customers who login/login with tag:
5. **Tax Exempt Setup on Cart:** This setting helps you configure how the tax ID is validated in the cart.
There are 3 options, you can tick on all or only specific ones:
{% hint style="info" %}
[***Review this document for more details about this setting***](https://docs.samita.io/samita-wholesale-b2b/tax-exempt/configure-tax-exempt-setting-on-cart)
{% endhint %}
6. **Select EU VAT for specific countries:** Choose which countries within the EU will require Tax ID validation. [***Click here***](https://docs.samita.io/samita-wholesale-b2b/tax-exempt/select-eu-countries-for-vat-id-validation) to get more information about this setting.
7. After finishing the setup, click **Save**.
