How to Assign Different Tax Rates to Products
To correctly tax products with different tax rates, follow these steps:
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Log in to the ikas Dashboard:
Sign in to your ikas dashboard.
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Access Definitions:
- Go to the Products tab and click on Definitions.
- Select the Tags section.
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Create a Tag for Special Tax Rates:
- Click the + Add New Tag button.
- Give the tag a relevant name (e.g., “7% Tax”), and save it.
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Assign the Tag to the Relevant Products:
In the left-hand menu, navigate to Products > Products and add the appropriate tag to every product that requires a different tax rate.
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Add Product Overrides for the Tax Zone:
- Go to Settings > Tax Settings and select the relevant tax zone (e.g. Germany).
- Scroll down to Product Overrides and click on + Add Overrides.
- Select the tag you previously created, enter the desired tax rate (e.g. 7%), and save it.
- Don’t forget to save the settings for the entire tax zone as well!
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Result:
- Products without a tag will continue to be taxed at the default country tax rate (e.g. 19%).
- Products with the special tag will be taxed at the new rate (e.g. 7%).
Example
Tax Zone: Germany
- Standard: All products are taxed at 19% VAT. The country tax is set to 19%.
- Exception: Basic food items, taxed at 7%, are assigned the tag “7% Tax”, and the tax rate is set to 7% in the settings.
By following these steps, you can easily manage individual tax rates for your products.