---
title: "Creating a new Tax Rule in PrestaShop 1.5"
description: "After setting up a new tax in PrestaShop 1.5, your next step is to create a new tax rule. After you have setup a tax rule by following the directions on this page, you can then associate this tax..."
url: https://www.inmotionhosting.com/support/edu/prestashop/new-tax-rule/
date: 2012-08-23
modified: 2021-08-16
author: "Brad Markle"
categories: ["Prestashop"]
type: post
lang: en
---

# Creating a new Tax Rule in PrestaShop 1.5

After [setting up a new tax](/support/edu/prestashop/create-new-tax/) in PrestaShop 1.5, your next step is to create a new **tax rule**. After you have setup a tax rule by following the directions on this page, you can then [associate this tax rule to a product](/support/edu/prestashop/tax-rule/).

Taxes can be a bit confusing, if you have any questions please see our article here on [understanding taxes and tax rules](/support/edu/prestashop/tax-and-tax-rules/) in PrestaShop 1.5

**Adding a new tax rule in PrestaShop 1.5:**

1. [Log into your PrestaShop 1.5 Dashboard](/support/edu/prestashop/login-to-dashboard/)
2. In the top menu, hover over **Localization** and then click **Tax Rules**
3. In the top right menu, click **Add new**
4. Type in a **Name** for the tax rule, select the green check next to **Enable**, and then click **Save and stay** in the top right menu In our testing, we set the Name to:*US-VaBeach Rate (4.5%)*
5. After you click **Save and stay**, a new button will appear in the top left menu – *Add new tax rule*. Click the **Add new tax rule** button.
6. Under **New tax rule**, enter the following details: Country Select the appropriate country from the drop down list Zip Code range You can define a range (eg: 75000-75015) or a simple zipcode Behavior Define the behavior if an address matches multiple rules: **This Tax Only:** Will apply only this tax **Combine:** Combine taxes (eg: 10% + 5% => 15%) **One After Another:** Apply taxes one after another (eg: 100€ + 10% => 110€ + 5% => 115.5€) Tax Select a tax from the drop down menu Description Enter a description about this tax rule You can see below how the Virginia tax rule is setup:[![virginia-tax-rule](https://www.inmotionhosting.com/support/wp-content/uploads/2012/08/edu_prestashop1.5_taxes_virginia-tax-rule.gif)](/support/wp-content/uploads/2012/08/edu_prestashop1.5_taxes_virginia-tax-rule.gif)
7. When finished enter the *New tax rule* information, click the **Save and stay** button (*which is under the Description field*)