Tax Rates

Tax Rates & Tax Groups – User Guide

1. Adding a Tax Rate

Tax rates are used to calculate tax on sales and purchases.

Steps to Add a New Tax:

1. Go to Settings → Tax Rates.
2. Click Add.
3. Enter a descriptive name
   (example: VAT @ 5%).
4. Enter the Tax Rate (%).
5. Save the tax rate.

2. Creating Tax Groups

Tax Groups are useful when more than one tax needs to be applied to the same sale or purchase.

When to Use Tax Groups:

• Multiple taxes apply to a single invoice
• Combined tax calculation is required

Steps to Add a Tax Group:

1. Go to Settings → Tax Rates.
2. Click Add Tax Group.
3. Enter a meaningful group name
   (example: GST + Service Tax).
4. Select the taxes you want to include in this group.
5. Save the tax group.

Important Notes About Tax Groups:

• The total tax rate of a tax group is the sum of all included taxes.
• If you edit a tax inside a tax group, the group’s total tax rate updates automatically.
• A tax cannot be deleted if it is already being used in a tax group.

3. Disabling Tax in the System

If you do not want to use tax in purchases or sales, follow these steps.

Steps to Disable Tax:

1. Go to Settings → Business Settings.
2. Uncheck Enable inline tax in purchase and sell.
3. Uncheck Enable Price & Tax info.
4. Set Default Sale Tax to None.
5. Save changes.

Important Note:

• When inline tax is disabled, the “Price Including Tax” column will not appear on the POS screen.