> For the complete documentation index, see [llms.txt](https://helpwith.salesorder.com/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://helpwith.salesorder.com/accounting/tax/item-tax-options.md).

# Item Tax Options

Item Tax Options (ITOs) are flags indicating if a particular Line Item, on say a Sales Invoice, is Taxable or not. By default salesorder.com has a single ITO which is called 'Taxable'. You can specify as many ITOs as you wish, each has a name together with a flag to determine if it is Taxable, or Non-Taxable. For each Line Item on a Sales Document, you can then select from the list of ITOs and determine if the item is Taxed or not.

**Note:** You can assign a default Item Tax Option to an Item so that when the Line Item is placed on a Sales Document, it will automatically be assigned its default Item Tax Option.

The Item Tax Option is shown below, together with an example of its selection on a Line Item.

<figure><img src="/files/HQa7eWHUd4esaJ8GhI9k" alt=""><figcaption><p>Item Tax Option and associated selection on Line Item</p></figcaption></figure>