The taxes in Unleashed are applied based on a tax hierarchy explained below:

1. Product Tax Rate: When a default tax rate is applied to a product, the product's tax rate will override the customer/supplier's tax rate and the default tax rate for the Sales or Purchase Order. You cannot override product tax using the header on a Sales/Purchase Order.
   
   
2. Customer / Supplier Tax Rate: If the product does not have a default tax rate, the customer/supplier's default tax rate will be used when processing a Sales/Purchase Order. However, you are able to override the customer/supplier's default tax on a per order basis, using the Tax Rate drop down field in the transaction.
   
   
3. Default Tax Rate: If the product and customer/supplier has no default tax rate advised, the tax rate advised as your account's default (in Settings, System, Taxes) will apply. You are able to override your system default tax on a per order basis, using the Tax Rate drop down field in the transaction.

Points to note

• If a customer or supplier is set as non-taxable, a product's default tax rate will be over-ridden as No Tax. 
• If you use Unleashed's B2B portal, Sales Orders created via the B2B store will follow the same hierarchy as outlined above.