A tax rules is something different from Taxes. You can use a tax rule to apply different taxes through to the country (or state). You can use a single tax rule to apply different taxes to a product for customers from different countries.
1.To add a new tax rule: Click on Localization-> Tax rules
2.Click on Add new button
-Use a telling name: use the tax rule’s country code, its name, maybe even its rate, so as find it again easily.(VAT-FR)
-Select whether the rule should be enabled from the get-go or not. You can enable it later if needed.
Click save and stay button.
3.The page reloads with a table header at the bottom
Specify the country and behaviors by filling in the fields
-Country: where you are creating target rule.
-Zip code range: the country has registered states or not, you can further specify the tax application using the customer’s zip code.
-This field enables you to define zip codes in which the tax should be applied either enter a single zip code or define a range using the dash.
-Behavior: Some customers might have an address that matches more than one of your tax rules. In that case, you can choose how this tax rule should behave
We apply only this tax, not any of the other matching taxes
-Combine taxes: There are two kinds of behavior
+) Combine: for example: 100$ + (10%+5%=15%).100$ = 115$
+) One after another: for instance: 100$+10%= 110$+20%=132$
The tax to be used for this tax rule “That tax must already be registered in Prestashop. If not: choose “Not tax”, disable the tax rule, save it, go create a tax in the Taxes page, then come back to edit the tax rule.
-Description: You may add a short text as a reminder of why exist for this country.
-Click on Save and Stay.
The country is added to the table and you can start adding another country using the new-empty fields.
Note that the default rate applied to your product will be based on your store’s default country.
Now we can apply the tax rule to any of the products in our store.