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How do you set up a "proper" Out of Scope tax code in Canada?

Other tips have suggested that for line by line items that get discounted, (and because there is no built in feature for this), that we set up an item(s) for Discounts... but to make the tax code Out of Scope.

 

This seems to work, however I can't find any reference to setting up this specific code... except one that says to make up a "proper out of Scope" code? 

Any help as to the steps and allocations for setting this up would be appreciated. I am currently using app"x" for accounting and am looking at QB as my new solution, and being able to discount line items, even if it's with the above Discount Line Item solution above, might be the deciding factor. 

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