Steps :To add new tax class and tax rate:

– From Dashboard select Utilities >> Manage Tax.
– Click on “+” icon on right upper corner to add new tax class and rate.
– Select tax class from dropdown or add new tax class.
– Now, add tax rate discription and its percentage value and click on submit.
– Now your tax is added and it will reflect on tax order form when you place order.
– You can add product based and order based tax.