Show empty tax rate column when tax is deleted instead of default

src/libs/TransactionUtils/index.ts

@@ -2148,11 +2148,13 @@ function getWorkspaceTaxesSettingsName(policy: OnyxEntry<Policy>, taxCode: strin
  * Gets the name corresponding to the taxCode that is displayed to the user
  */
 function getTaxName(policy: OnyxEntry<Policy>, transaction: OnyxEntry<Transaction>, shouldFallbackToValue = false) {
-    const defaultTaxCode = getDefaultTaxCode(policy, transaction);
+    // An empty string taxCode means tax was explicitly cleared (e.g. via "Delete tax"), so return undefined
+    if (transaction?.taxCode === '') {
+        return undefined;
+    }
 
-    // transaction?.taxCode may be an empty string
-    // eslint-disable-next-line @typescript-eslint/prefer-nullish-coalescing
-    const taxRate = Object.values(transformedTaxRates(policy, transaction)).find((rate) => rate.code === (transaction?.taxCode || defaultTaxCode));
+    const defaultTaxCode = getDefaultTaxCode(policy, transaction);
+    const taxRate = Object.values(transformedTaxRates(policy, transaction)).find((rate) => rate.code === (transaction?.taxCode ?? defaultTaxCode));
 
     if (shouldFallbackToValue && transaction?.taxValue !== undefined && taxRate?.value !== transaction?.taxValue) {
         return transaction?.taxValue;

tests/unit/TransactionUtilsTest.ts

@@ -1854,15 +1854,15 @@ describe('TransactionUtils', () => {
             expect(result).toBe('Tax Rate 1 (5%)');
         });
 
-        it('should return default tax name when transaction has empty taxCode', () => {
+        it('should return empty string when transaction has empty taxCode (tax was deleted)', () => {
             const transaction = generateTransaction({
                 taxCode: '',
                 taxValue: undefined,
             });
 
             const result = TransactionUtils.getTaxRateTitle(policy, transaction, false, undefined);
 
-            expect(result).toBe('Tax exempt (0%) • Default');
+            expect(result).toBe('');
         });
 
         it('should return empty string when policy is undefined', () => {