What are Tax Groups
In many countries, various products, or groups of products may be taxed at different rates from your local sales tax rate. These may include books, electronics, pharmaceuticals etc.

EROL provides you with a matrix to set the tax rates for any group of products that may differ from standard sales tax rates.

Creating different tax groups
The tax group matrix on the Tax Groups tab allows you to set an infinite number of different tax groups along with their relevant tax rates.

In the 'Tax Group' column of the matrix enter the name of the tax group (eg. Books, Electronics, Pharmaceuticals etc) and enter it's tax rate under 'Country %'.

Creating different tax groups if you are in the United States
If you are in the United States you also have the option of setting alternate tax rates for each tax group (if applicable) according to the State, County and/or City taxes relevant to you.

The 'State%' 'County%' and 'City%' columns in the matrix only become accessible if you have selected United States from the dropdown menu on the Local Taxes tab.

Creating different tax groups if you are in Canada
If you are in Canada you also have the option of setting alternate tax rates for each tax group (if applicable) according to the State/Province taxes relevant to you.

The 'State%' column in the matrix only becomes accessible if you have selected Canada from the dropdown menu on the Local Taxes tab.

Applying a tax group to an individual product
Once tax groups have been created in the Tax Groups tab, they may be applied on a product-by-product basis within your store.

On the Item Pricing tab for any product, there are four sub-tabs. On the General sub-tab you can select the Tax Group for that particular product from the 'Tax group' dropdown menu. All the tax groups you have created in the tax group matrix on the Tax Group page will be listed in this 'Tax Group' dropdown menu.

Zero Rated products
Any product can be zero rated. This is based on the lower rate tax currently employed in the UK.

Zero-rated means that tax will not be applied to that product at all.

Zero rated products may include books, hospital supplies or perhaps educational materials.

Zero rating a product is applied on a product-by-product basis.

On the Item Pricing tab for any product, there are four sub-tabs. On the General sub-tab select 'Zero Rated' from the 'Tax group' dropdown menu. This will automatically exempt that particular item from any sales tax.