Create, Edit and Retire Tax Rates

Rate Naming Standard

Use names a cashier and accountant can identify without opening the record. Include the legal label and percentage, for example GST 5%, VAT 20% or State Sales Tax 8.25%. Keep a deliberate 0% rate only when zero-rated items must remain visibly classified.

• Do not create duplicates such as GST5, GST 5 and Five Percent GST.
• Do not combine multiple legal components in one name when Tax Groups are required.
• Confirm decimal rates exactly; Value is a percentage, not a currency amount.

Create a Rate

1. Open Manage -> Tax -> Tax Rates.
2. Review the list to make sure the rate does not already exist.
3. Click New.
4. Enter the approved Name.
5. Enter the percentage in Value, such as 5 or 8.25.
6. Click Save.
7. Confirm the new row displays the correct percentage.
8. Assign it to a test item and run a one-unit test sale.

Edit or Delete a Rate

Use the edit icon for spelling corrections or an approved rate change. Before deleting, find items, quick-sale defaults and tax groups that use the rate. Prefer creating a newly effective rate and reassigning active items when the legal percentage changes; this preserves a clearer operational history.

• Never repurpose an old percentage name to mean a different tax.
• Check every branch when catalog data is shared.
• Do not delete a component still selected by a Tax Group.
• After a change, verify item details, cart tax, receipt tax and the relevant report.

Worked Check

For an exclusive 5% item priced at 100, the checkout total should be 105 before other discounts or charges. For an inclusive 5% item displayed at 105, tax is contained in that amount; the taxable base is 100 and tax is 5. Discounts can alter the taxable amount, so verify the final receipt rather than calculating from the original shelf price alone.

Troubleshooting