Tax Exemption Proration

Bill factors that levy taxes may or may not be eligible for tax exemptions; it's up to the respective taxing authority. Customers who are eligible for tax exemptions will have their tax obligation reduced (or nullified) at billing time.

Whether or not a customer is tax exempt (and the percent exempt) is defined on the service agreement's tax exemption page. A customer's tax exemptability is effective-dated (it may change over time). If a customer's tax exemptability changes during a bill period, the system may or may not prorate the charges. You control exactly how the system handles this situation using the bill factor's proration parameters.