Magento Open Source 2.1.x

Magento 2.1.x Notice: Magento 2.1.18 is the final 2.1.x release. After June 2019, Magento 2.1.x will no longer receive security patches, quality fixes, or documentation updates. To maintain your site's performance, security, and PCIPayment Card Industry: Refers to debit and credit cards and their associated businesses. compliance, upgrade to the latest version of Magento. The Magento User Guide 2.1.x remains available in PDF for Open Source and Commerce.

Tax Zones and Rates

Tax rates generally apply to transactions that take place within a specific geographical area. The Tax Zones and Rates tool enables you to specify the tax rate for each geographical area from which you collect and remit taxes. Because each tax zone and rate has a unique identifier, you can have multiple tax rates for a given geographic area (such as places that do not tax food or medicine, but do tax other items).

Store tax is calculated based on the store’s address. The actual customer tax for an order is calculated after the customer completes the order information. Magento then calculates the tax based upon the tax configuration of the store.


Tax Zones and Rates