For various reasons, some of your employees may be tax exempt (for example, EI exemption for shareholders/owners who take a regular salary). You can easily set up these exemptions through the employee's Knit profile.To add an employee tax exemption:
- Open the People tab and select the tax-exempt employee.
- Once you inside the employee profile, select the Compensation tab.
![](https://files.helpdocs.io/BxqxkSwyM8/articles/bEtAMtKHM6/1565124671863/awesome-screenshot-knitapps-en-dashboard-employees-20800-2019-08-06-4-42.png)
- Scroll down to Tax Options and select the green pencil Icon, the Edit Tax Options window will open
![](https://files.helpdocs.io/BxqxkSwyM8/articles/bEtAMtKHM6/1583331695034/employees-human-resource-management-payroll.png)
![](https://files.helpdocs.io/BxqxkSwyM8/articles/bEtAMtKHM6/1583331986853/employees-human-resource-management-payroll-1.png)
- To make the employee exempt from either Provincial taxes, Federal taxes and/or CCP & EI contributions, simply select "Yes" from the drop-downs under the correct remittance
- Click Save Changes