A VAT rate represents the percentage of the sale price that is charged as value-added tax. VAT is a consumption tax applied to goods and services at the time of sale, and the applicable rate may vary depending on the country and the type of goods or services provided.
In this section, you can create and manage VAT rates used by the system. Defining VAT rates allows you to set the correct tax percentage for your country and the type of services or products you offer. Once a VAT rate is created and marked as default, it will be automatically applied to products whenever they are selected, ensuring consistent and accurate tax calculation.
To add a new VAT rate, enter a clear name for the rate along with the corresponding percentage value, then click Save. The VAT rate will be stored and available for use across the application.