Tax exempt customers are defaulting to taxable line items when creating an invoice

It's good to see you here, @BucsFan72. I can think of one possible explanation for this situation.

Even if your customer is tax-exempt, once the product or service you selected when creating the invoice is taxable, the Tax box will still be checked. 

With that in mind, you'll need to manually unticked the box to avoid taxing your customer.

If this doesn't apply to your experience, it might be related to your browser. In that case, let's try clearing the cache of your default browser to eliminate outdated and corrupted files that could be causing the issue.

If the issue persists, clear Intuit-specific cookies from your search engine to refresh website preferences that's also a root cause of the error your accountant encountered. Here's how:

1. At the top right, select the More ⋮ icon.
2. Click the Settings option.
   
3. Choose Privacy and security. Then, Third-party cookies.
   
4. Once done, pick See all site data and cookies.
   
5. Enter “Intuit or QuickBooks” in the search field.
6. Go to Delete displayed data or the trash can icon.
   
7. Refresh Google Chrome for the changes to take effect

For the other browser's processes, you can check this article: Clear cache and cookies to fix issues.

Speaking of creating an invoice, you might want to personalize its template to make it more professional looking, consider checking this article: Customize invoices, estimates, and sales receipts in QuickBooks Online.

Keep us updated if you have additional questions by leaving a reply below.