Do I change tax status "Tax Inclusive/Tax Exclusive" of PO, It changes the products rate instead of changing the tax and grand total. Any one faced similar issue?

Hello cyrusacuna16, Welcome to the Community 👋. This is the way that QuickBooks has been designed and set up, it's asking is the number you are typing including or excluding tax, so when you change it after typing it in it recalculates it all to keep the overall total of the transaction the same.

But that shouldn't be the case. Why would I want to change the rate of producT? The total and tax should be changed instead.

Hello there, cyrusacuna16.

I understand that you don't want to change the product rate when you update the tax tagging.

Though this is how it's designed, there's a workaround I want to show you. Let's update the tax tagging first before adding the products and rates.

If you have added the products already, you'll want to delete them. Then, change the tax type and add them back.

Also, you'll want to check this article to learn how to handle changing tax rates.

I'll be here if you need more help with this. Have a great day and stay safe!