Step 7. Taxing Ranges. Select whether to apply different taxes at different ranges of item prices or not.
If you click on "Apply only one range", the tax rule will apply one (1) tax to all sales. The next step of the wizard will enable you to define fixed percentage or amounts of tax.
If you click on "Apply multiple ranges", tax rule will the wizard will allow you to apply different taxes to different amounts of sales. The next step will enable you to define each level or range of sales and the corresponding taxes.
Step 7a Tax Rates/Values. - Single - This dialog will enable you to determine the fixed tax amount to be applied to all sales.
To enter a tax value, click on the field area and type the numeric value for the tax.
To apply this value as a percentage, click on the "Percentage" bullet box.
To apply this value as a fixed dollar amount, click on the "Fixed Dollar Amount" bullet box.
Example:
If your jurisdiction's tax rate is 6%, enter the tax value in the form 6 or 6.00, meaning 6% (rather than .06), and select "percentage."
If your jurisdiction has a flat tax fee (such as for a service), then enter the dollar amount of the tax fee, such as 6.00, meaning $6.00, and select "fixed amount."
Step 7a. Tax Rates/Values. - Multiple - This dialog will enable you to determine the specific sales ranges and their corresponding tax amounts.
Add - Clicking on this button will open a small dialog in which you enter the applicable tax ranges for this tax.
Split at $ - The price range at which the tax rate shown on the right will apply.
Example
Tax - The tax rate percentage. Enter your tax rate in the Tax box in the form of "6" or "6.00", meaning 6% tax or $6.00 as defined below..
Check for Max - if checked, the Split at $ field will be set to "Max", meaning "infinity". This defines the tax range as the maximum dollar value. Example: Range 1= From $0.00 to $5.00 receives a tax of 5%; Range 2 = From $5.01 and above (Max.) receives an ADDITIONAL 1% of tax.
Percentage Tax - Checking this will process the tax as a percentage of the sale.
Fixed Rate Tax - Checking this will apply a fixed amount of tax to the sale.
Edit - Clicking on this button will open a small dialog in which you can edit the selected range for tax.
Remove - Deletes the currently selected tax range.