Tax rate are combination of Tax Zone like country, state zip and percentage. You can add tax rates from below steps.
• Login to Magento Admin Panel.
• Click on Sales menu and click on Tax under the sales. After that you will see another sub menu. You have to choose Manage Tax Zones & Rates option.
Click on Add New Tax Rate button from top right corer.
In this section there are four types of options
- Tax Identifier field defines the title of the newly created tax rate.
- Country and State fields describes the country and state to which the specific tax applies. You can select country and state from the dropdown options given.
- Zip/Post is range (set to Yes) field which provides two fields, i.e. Range From and Range To. These fields show the starting and ending of ZIP code range.
- Rate Percent specifies the percent of the tax rate.
Once you finish the settings, click on the Save Rate button.