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The difference between a Taxable Item and a Taxable Workarea
The difference between a Taxable Item and a Taxable Workarea

Why do some jobs have taxable toggles on the workareas and others on individual items?

Weston Zimmerman avatar
Written by Weston Zimmerman
Updated over 3 years ago

Why do some jobs have taxable toggles on the workareas and others on individual items? The answer depends on the type of Pricing Type your job is. This article explains the answer to this question.


To charge (or not charge) tax on invoices to your customers:

Tax is applied differently depending on the Pricing Type.

Quoted Price:

Tax gets applied at the workarea level. Tax is controlled via the tax toggle in a workarea and gets applied to the entire line item/workarea, or not.

T&M and Flat Rate:

Tax gets applied at the item level. Tax is controlled via the taxable toggle on each individual item in the estimate. So the same workarea can have some items taxable and some items untaxable.

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