I think where the confusion comes is in your question where you say the options are
"Selecting a Tax type in a retail store, Options are Inclusive and Exclusive"
.. do you mean inclusive OR exclusive?
A quick run-down of radio buttons and toggles:
A toggle button should be used when there are ONLY two mutually exclusive options. Think of it like a light switch - the light can either be on or off, not both. In your example this would work if a tax type can be only inclusive OR exclusive.
Radio buttons are great when there are three or more mutually exclusive options. Think of it like picking the month you were born in; you if say you were born in July, you therefore weren't born in any of the other 11 months. In your example this should only be used if there are other options, e.g. if it could be inclusive OR exclusive OR another option.
When the options aren't mutually exclusive, tick boxes should be used. Think of it like picking foods you like. You can like burgers and hot dogs, and liking burgers does not prevent you from liking hot dogs. In your example, this should be used if a tax type could be inclusive AND exclusive - therefore the user could tick both.
TL;DR - Assuming your options are mutually exclusive and there are only two of them, go for a toggle button.