In the process of configuring VAT / GST tax calculation, you need to set up VAT / GST rates:
In the section Rates / Conditions in the lower part of the page, click the New rate button.
In the section that expands below, provide information about a new VAT/GST rate:
Zone: Specify the address zone applicable for taxation. The tax rate will apply to customers whose address belongs to the selected address zone. Depending on the "Address for VAT / GST calculation" setting in the Common Tax Settings, it may be their billing or shipping address.
Tax class: Specify the type of products (tax class) applicable for taxation. For example, if you select the Default tax class option here, the tax rate will apply to all products with the default tax class assigned.
User membership: Specify the user membership level applicable for taxation. The Ignore membership option allows you to create a tax rate that will apply to all orders irrespective of the buyer's membership.
Note: The "User membership" column becomes available when the "Use the same tax rates for all user membership levels" option is disabled in the Common Tax Settings.
Rate: Specify the tax rate amount as a percentage of the selected taxable base.
Use the New rate button to add as many tax rates as you need.
Click Save changes.
Please note that the settings become active after submitting them with the Save changes button. After completing the tax rates setup, be sure to complete your tax setup enabling the tax for your store as described in Configuring VAT / GST (for the UK, EU, Australia, etc.).