How do I calculate tax in a field based on state of a checkbox?

I have an invoice with a 'tax exempt' checkbox. 
I would like a 'Sales Tax' field to calculate  (subtotal*0.07) when the check box is empty and return 0 if the check box is checked. How would I do this?
I was going to use javascript in the custom formula field (with ID of 'salestax') in 'properties' but i'm not sure how to reference the check box (with an ID of 'taxexempt').

Good day. I have a similar issue: My checkbox is 'SalesTaxCheck' and I only want the calculation run if the box is checked.
I adjusted your script as follows:
if (this.getField("SalesTaxCheck").value=="On") event.value = +this.getField("subtotal").value * 0.08;
else event.value = "0";
Can you suggest where I may have gone wrong?
Thanks in advance.

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