diff --git a/bodyshop_translations.babel b/bodyshop_translations.babel
index f718f02c8..9a19357f6 100644
--- a/bodyshop_translations.babel
+++ b/bodyshop_translations.babel
@@ -1,4 +1,4 @@
-<babeledit_project version="1.2" be_version="2.7.1">
+<babeledit_project be_version="2.7.1" version="1.2">
     <!--
 
     BabelEdit project file
@@ -7246,6 +7246,48 @@
                                                     </translation>
                                                 </translations>
                                             </concept_node>
+                                            <concept_node>
+                                                <name>invoiceexemptcode</name>
+                                                <definition_loaded>false</definition_loaded>
+                                                <description></description>
+                                                <comment></comment>
+                                                <default_text></default_text>
+                                                <translations>
+                                                    <translation>
+                                                        <language>en-US</language>
+                                                        <approved>false</approved>
+                                                    </translation>
+                                                    <translation>
+                                                        <language>es-MX</language>
+                                                        <approved>false</approved>
+                                                    </translation>
+                                                    <translation>
+                                                        <language>fr-CA</language>
+                                                        <approved>false</approved>
+                                                    </translation>
+                                                </translations>
+                                            </concept_node>
+                                            <concept_node>
+                                                <name>itemexemptcode</name>
+                                                <definition_loaded>false</definition_loaded>
+                                                <description></description>
+                                                <comment></comment>
+                                                <default_text></default_text>
+                                                <translations>
+                                                    <translation>
+                                                        <language>en-US</language>
+                                                        <approved>false</approved>
+                                                    </translation>
+                                                    <translation>
+                                                        <language>es-MX</language>
+                                                        <approved>false</approved>
+                                                    </translation>
+                                                    <translation>
+                                                        <language>fr-CA</language>
+                                                        <approved>false</approved>
+                                                    </translation>
+                                                </translations>
+                                            </concept_node>
                                             <concept_node>
                                                 <name>la1</name>
                                                 <definition_loaded>false</definition_loaded>
diff --git a/client/src/components/bill-form/bill-form.lines.component.jsx b/client/src/components/bill-form/bill-form.lines.component.jsx
index 7ce5e723e..67cd3bf5e 100644
--- a/client/src/components/bill-form/bill-form.lines.component.jsx
+++ b/client/src/components/bill-form/bill-form.lines.component.jsx
@@ -1,14 +1,15 @@
 import { DeleteFilled, DollarCircleFilled } from "@ant-design/icons";
 import { useTreatments } from "@splitsoftware/splitio-react";
 import {
-  Button, Form,
+  Button,
+  Form,
   Input,
   InputNumber,
   Select,
   Space,
   Switch,
   Table,
-  Tooltip
+  Tooltip,
 } from "antd";
 import React from "react";
 import { useTranslation } from "react-i18next";
@@ -466,7 +467,7 @@ export function BillEnterModalLinesComponent({
           return {
             key: `${field.index}fedtax`,
             valuePropName: "checked",
-            initialValue: true,
+            //  initialValue: true,
             name: [field.name, "applicable_taxes", "federal"],
           };
         },
diff --git a/client/src/translations/en_us/common.json b/client/src/translations/en_us/common.json
index f6d4623a6..4fc559b80 100644
--- a/client/src/translations/en_us/common.json
+++ b/client/src/translations/en_us/common.json
@@ -456,6 +456,8 @@
 					"federal_tax": "Federal Tax",
 					"federal_tax_itc": "Federal Tax Credit",
 					"gst_override": "GST Override Account #",
+					"invoiceexemptcode": "QuickBooks US - Invoice Tax Exempt Code",
+					"itemexemptcode": "QuickBooks US - Line Item Tax Exempt Code",
 					"la1": "LA1",
 					"la2": "LA2",
 					"la3": "LA3",
diff --git a/client/src/translations/es/common.json b/client/src/translations/es/common.json
index 80735a76a..c65da6e31 100644
--- a/client/src/translations/es/common.json
+++ b/client/src/translations/es/common.json
@@ -456,6 +456,8 @@
 					"federal_tax": "",
 					"federal_tax_itc": "",
 					"gst_override": "",
+					"invoiceexemptcode": "",
+					"itemexemptcode": "",
 					"la1": "",
 					"la2": "",
 					"la3": "",
diff --git a/client/src/translations/fr/common.json b/client/src/translations/fr/common.json
index 4873881fc..9d25b01a4 100644
--- a/client/src/translations/fr/common.json
+++ b/client/src/translations/fr/common.json
@@ -456,6 +456,8 @@
 					"federal_tax": "",
 					"federal_tax_itc": "",
 					"gst_override": "",
+					"invoiceexemptcode": "",
+					"itemexemptcode": "",
 					"la1": "",
 					"la2": "",
 					"la3": "",
diff --git a/server/accounting/qb-receivables-lines.js b/server/accounting/qb-receivables-lines.js
index 7ff5bfdfb..c27de4e84 100644
--- a/server/accounting/qb-receivables-lines.js
+++ b/server/accounting/qb-receivables-lines.js
@@ -78,7 +78,7 @@ exports.default = function ({
         const taxAccountCode = findTaxCode(
           {
             local: false,
-            federal: true,
+            federal: process.env.COUNTRY === "USA" ? false : true,
             state:
               jobs_by_pk.state_tax_rate === 0
                 ? false
@@ -93,7 +93,14 @@ exports.default = function ({
           bodyshop.md_responsibility_centers.sales_tax_codes
         );
 
-        const QboTaxId = taxCodes[taxAccountCode];
+        const QboTaxId =
+          process.env.COUNTRY === "USA"
+            ? CheckQBOUSATaxID({
+                jobline: jobline,
+                type: "part",
+                job: jobs_by_pk,
+              })
+            : taxCodes[taxAccountCode];
         if (!invoiceLineHash[account.name]) invoiceLineHash[account.name] = {};
         if (!invoiceLineHash[account.name][QboTaxId]) {
           invoiceLineHash[account.name][QboTaxId] = {
@@ -158,13 +165,16 @@ exports.default = function ({
         const taxAccountCode = findTaxCode(
           {
             local: false,
-            federal: true,
+            federal: process.env.COUNTRY === "USA" ? false : true,
             state: jobs_by_pk.state_tax_rate === 0 ? false : true,
           },
           bodyshop.md_responsibility_centers.sales_tax_codes
         );
 
-        const QboTaxId = taxCodes[taxAccountCode];
+        const QboTaxId =
+          process.env.COUNTRY === "USA"
+            ? CheckQBOUSATaxID({ jobline: jobline, type: "labor" })
+            : taxCodes[taxAccountCode];
         if (!invoiceLineHash[account.name]) invoiceLineHash[account.name] = {};
         if (!invoiceLineHash[account.name][QboTaxId]) {
           invoiceLineHash[account.name][QboTaxId] = {
@@ -225,13 +235,20 @@ exports.default = function ({
         const taxAccountCode = findTaxCode(
           {
             local: false,
-            federal: true,
+            federal: process.env.COUNTRY === "USA" ? false : true,
             state: jobs_by_pk.state_tax_rate === 0 ? false : true,
           },
           bodyshop.md_responsibility_centers.sales_tax_codes
         );
 
-        const QboTaxId = taxCodes[taxAccountCode];
+        const QboTaxId =
+          process.env.COUNTRY === "USA"
+            ? CheckQBOUSATaxID({
+                // jobline: jobline,
+                job: jobs_by_pk,
+                type: "materials",
+              })
+            : taxCodes[taxAccountCode];
         if (!invoiceLineHash[mapaAccount.name])
           invoiceLineHash[mapaAccount.name] = {};
         if (!invoiceLineHash[mapaAccount.name][QboTaxId]) {
@@ -292,13 +309,20 @@ exports.default = function ({
         const taxAccountCode = findTaxCode(
           {
             local: false,
-            federal: true,
+            federal: process.env.COUNTRY === "USA" ? false : true,
             state: jobs_by_pk.state_tax_rate === 0 ? false : true,
           },
           bodyshop.md_responsibility_centers.sales_tax_codes
         );
 
-        const QboTaxId = taxCodes[taxAccountCode];
+        const QboTaxId =
+          process.env.COUNTRY === "USA"
+            ? CheckQBOUSATaxID({
+                //   jobline: jobline,
+                job: jobs_by_pk,
+                type: "materials",
+              })
+            : taxCodes[taxAccountCode];
         if (!invoiceLineHash[mashAccount.name])
           invoiceLineHash[mashAccount.name] = {};
         if (!invoiceLineHash[mashAccount.name][QboTaxId]) {
@@ -375,7 +399,7 @@ exports.default = function ({
       const taxAccountCode = findTaxCode(
         {
           local: false,
-          federal: true,
+          federal: process.env.COUNTRY === "USA" ? false : true,
           state: jobs_by_pk.state_tax_rate === 0 ? false : true,
         },
         bodyshop.md_responsibility_centers.sales_tax_codes
@@ -383,7 +407,14 @@ exports.default = function ({
       const account = responsibilityCenters.profits.find(
         (c) => c.name === responsibilityCenters.defaults.profits["TOW"]
       );
-      const QboTaxId = taxCodes[taxAccountCode];
+      const QboTaxId =
+        process.env.COUNTRY === "USA"
+          ? CheckQBOUSATaxID({
+              //  jobline: jobline,
+              job: jobs_by_pk,
+              type: "towing",
+            })
+          : taxCodes[taxAccountCode];
       InvoiceLineAdd.push({
         DetailType: "SalesItemLineDetail",
         Amount: Dinero({
@@ -427,7 +458,7 @@ exports.default = function ({
       const taxAccountCode = findTaxCode(
         {
           local: false,
-          federal: true,
+          federal: process.env.COUNTRY === "USA" ? false : true,
           state: jobs_by_pk.state_tax_rate === 0 ? false : true,
         },
         bodyshop.md_responsibility_centers.sales_tax_codes
@@ -435,7 +466,14 @@ exports.default = function ({
       const account = responsibilityCenters.profits.find(
         (c) => c.name === responsibilityCenters.defaults.profits["TOW"]
       );
-      const QboTaxId = taxCodes[taxAccountCode];
+      const QboTaxId =
+        process.env.COUNTRY === "USA"
+          ? CheckQBOUSATaxID({
+              //    jobline: jobline,
+              job: jobs_by_pk,
+              type: "storage",
+            })
+          : taxCodes[taxAccountCode];
       InvoiceLineAdd.push({
         DetailType: "SalesItemLineDetail",
         Amount: Dinero({
@@ -482,13 +520,20 @@ exports.default = function ({
       const taxAccountCode = findTaxCode(
         {
           local: false,
-          federal: true,
+          federal: process.env.COUNTRY === "USA" ? false : true,
           state: jobs_by_pk.state_tax_rate === 0 ? false : true,
         },
         bodyshop.md_responsibility_centers.sales_tax_codes
       );
 
-      const QboTaxId = taxCodes[taxAccountCode];
+      const QboTaxId =
+        process.env.COUNTRY === "USA"
+          ? CheckQBOUSATaxID({
+              // jobline: jobline,
+              type: "adjustment",
+              job: jobs_by_pk,
+            })
+          : taxCodes[taxAccountCode];
       InvoiceLineAdd.push({
         DetailType: "SalesItemLineDetail",
         Amount: Dinero({
@@ -598,7 +643,7 @@ exports.default = function ({
                 findTaxCode(
                   {
                     local: false,
-                    federal: true,
+                    federal: process.env.COUNTRY === "USA" ? false : true,
                     state: false,
                   },
                   bodyshop.md_responsibility_centers.sales_tax_codes
@@ -622,29 +667,29 @@ exports.default = function ({
 
   //QB USA with GST
   //This was required for the No. 1 Collision Group.
-  if (
-    bodyshop.accountingconfig &&
-    bodyshop.accountingconfig.qbo &&
-    bodyshop.accountingconfig.qbo_usa &&
-    bodyshop.region_config.includes("CA_")
-  ) {
-    InvoiceLineAdd.push({
-      DetailType: "SalesItemLineDetail",
-      Amount: Dinero(jobs_by_pk.job_totals.totals.federal_tax).toFormat(
-        DineroQbFormat
-      ),
-      SalesItemLineDetail: {
-        ...(jobs_by_pk.class
-          ? { ClassRef: { value: classes[jobs_by_pk.class] } }
-          : {}),
-        ItemRef: {
-          value:
-            items[bodyshop.md_responsibility_centers.taxes.federal.accountitem],
-        },
-        Qty: 1,
-      },
-    });
-  }
+  // if (
+  //   bodyshop.accountingconfig &&
+  //   bodyshop.accountingconfig.qbo &&
+  //   bodyshop.accountingconfig.qbo_usa &&
+  //   bodyshop.region_config.includes("CA_")
+  // ) {
+  //   InvoiceLineAdd.push({
+  //     DetailType: "SalesItemLineDetail",
+  //     Amount: Dinero(jobs_by_pk.job_totals.totals.federal_tax).toFormat(
+  //       DineroQbFormat
+  //     ),
+  //     SalesItemLineDetail: {
+  //       ...(jobs_by_pk.class
+  //         ? { ClassRef: { value: classes[jobs_by_pk.class] } }
+  //         : {}),
+  //       ItemRef: {
+  //         value:
+  //           items[bodyshop.md_responsibility_centers.taxes.federal.accountitem],
+  //       },
+  //       Qty: 1,
+  //     },
+  //   });
+  // }
 
   if (!qbo && InvoiceLineAdd.length === 0) {
     //Handle the scenario where there is a $0 sale invoice.
@@ -785,3 +830,19 @@ exports.createMultiQbPayerLines = function ({
 
   return InvoiceLineAdd;
 };
+
+function CheckQBOUSATaxID({ jobline, job, type }) {
+  if (type === "labor") {
+    return jobline.lbr_tax ? "TAX" : "NON";
+  } else if (type === "part") {
+    return jobline.tax_part ? "TAX" : "NON";
+  } else if (type === "materials") {
+    return job.tax_paint_mat_rt > 0 ? "TAX" : "NON";
+  } else if (type === " towing") {
+    return true ? "TAX" : "NON";
+  } else if (type === "adjustment") {
+    return false ? "TAX" : "NON";
+  } else {
+    throw new Error(`Unknown type to calculate tax id: ${type} `);
+  }
+}
diff --git a/server/accounting/qbo/qbo-receivables.js b/server/accounting/qbo/qbo-receivables.js
index a09c22d80..8471f80be 100644
--- a/server/accounting/qbo/qbo-receivables.js
+++ b/server/accounting/qbo/qbo-receivables.js
@@ -18,7 +18,6 @@ const {
 const OAuthClient = require("intuit-oauth");
 const CreateInvoiceLines = require("../qb-receivables-lines").default;
 const moment = require("moment-timezone");
-
 const GraphQLClient = require("graphql-request").GraphQLClient;
 const { generateOwnerTier } = require("../qbxml/qbxml-utils");
 const { createMultiQbPayerLines } = require("../qb-receivables-lines");
@@ -635,8 +634,7 @@ async function InsertInvoice(
     ],
     ...(bodyshop.accountingconfig &&
       bodyshop.accountingconfig.qbo &&
-      bodyshop.accountingconfig.qbo_usa &&
-      bodyshop.region_config.includes("CA_") && {
+      bodyshop.accountingconfig.qbo_usa && {
         TxnTaxDetail: {
           TxnTaxCodeRef: {
             value:
diff --git a/server/accounting/qbxml/qbxml-payables.js b/server/accounting/qbxml/qbxml-payables.js
index 5bc99cf5f..8542c24eb 100644
--- a/server/accounting/qbxml/qbxml-payables.js
+++ b/server/accounting/qbxml/qbxml-payables.js
@@ -124,9 +124,16 @@ const generateBillLine = (billLine, responsibilityCenters, jobClass) => {
       .multiply(billLine.quantity || 1)
       .toFormat(DineroQbFormat),
     ...(jobClass ? { ClassRef: { FullName: jobClass } } : {}),
-    SalesTaxCodeRef: {
-      FullName: findTaxCode(billLine, responsibilityCenters.sales_tax_codes),
-    },
+    ...(process.env.COUNTRY !== "USA"
+      ? {
+          SalesTaxCodeRef: {
+            FullName: findTaxCode(
+              billLine,
+              responsibilityCenters.sales_tax_codes
+            ),
+          },
+        }
+      : {}),
   };
 };
 
diff --git a/server/graphql-client/queries.js b/server/graphql-client/queries.js
index 63a0b8f91..e936a9cb6 100644
--- a/server/graphql-client/queries.js
+++ b/server/graphql-client/queries.js
@@ -225,6 +225,8 @@ query QUERY_JOBS_FOR_RECEIVABLES_EXPORT($ids: [uuid!]!) {
     adjustment_bottom_line
     state_tax_rate
     qb_multiple_payers
+    tax_paint_mat_rt
+    tax_lbr_rt
     owner {
       accountingid
     }
@@ -243,6 +245,7 @@ query QUERY_JOBS_FOR_RECEIVABLES_EXPORT($ids: [uuid!]!) {
       prt_dsmk_p
       prt_dsmk_m
       tax_part
+      lbr_tax
       line_ref
       unq_seq
       lbr_op
@@ -1770,8 +1773,8 @@ exports.GET_JOB_FOR_PPC = `query GET_JOB_FOR_PPC($jobid: uuid!) {
       timezone
     }
   }
-  `
-  
+  `;
+
 exports.QUERY_PARTS_SCAN = `query QUERY_PARTS_SCAN ($id: uuid!) {
   jobs_by_pk(id: $id) {
     bodyshop {