How to Create a New Tax Code and update Grids if necessary

To create a new tax code in Odoo, you can click on the CREATE button and a configuration page will open up as shown below to configure the new Tax. The first step is to enter the Name of the Tax in the Tax Name field and choose the Tax type from down from the list of Tax types Sales, Purchase or None.

To update grids if necessary, you can go to Accounting -> Configuration -> Taxes -> Taxes. Then click on the Edit button next to the tax you want to modify. You can then modify the tax grid as necessary

Create a Tax Code

All the Tax Codes are available in Odoo. If you need to create a custom Tax Code, You can follow the below steps.

1. Go to Accounting > Configuration > Taxes.

2.  Click on NEW. 

3. Fill in the relevant fields.

• Tax Name - Name of the Tax
• Tax Computation - Group of taxes/ Fixed Tax/ Percentage of price /  Percentage of price tax included
• Active - You can activate or deactivate the tax.
  
• Tax Type - Define whether it is a sales tax or purchase tax
• Tax Scope - You can keep this blank. This is to define whether the tax is for services or Goods.
• Amount - If the Tax Computation is Percentage of Price /  Percentage of price tax included , define the percentage. If the tax computation is Fixed, define the fixed amount.
  
  

Definition Tab

• Account -  Select the related GST account for the Tax
• Tax Grids -Define the relevant Tax Grid in your tax report
  
  

Advanced Options

• Label on Invoice - Type the tax name you want to see on the Invoice
• Tax group -  Select to which Tax Group the tax belongs. The Tax Group name is the label displayed above the Total line on exported invoices, and the Customer Portals.
• Included in Analytic cost -  With this option activated, the tax’s amount is assigned to the same Analytic Account as the invoice line.
• Included in Price -  With this option activated, the total (including the tax) equals the Sales Price
• Affect Base of Subsequent Taxes -  With this option, the total tax-included becomes the taxable basis for the other taxes applied to the same product
• Base Affected by Previous Taxes -  If set taxes with lower sequence might affect this one, provided they try to do it.

4. Once you're done, click on Manual Save button.

You can also duplicate a tax code and customize it.

• Go to Accounting > Configuration > Taxes.
• Click on a similar tax code > Action > Duplicate

• Update Details > Click Manual Save Button