• Go to Masters > Master > Item Master.

• Press 'F3' key on the Item in which Tax Type needs to be selected.
• Suppose select 'Amifru 40'.

• In 'Local/Central' option, the user will select 'Taxable, Tax Paid, Exempted' as per the requirement.

a. Taxable- Taxable option is used when tax is to be applied on any saleable good. Suppose, the item of Rs.100 and user has to give 5% tax on it. So when this item is sold, the amount will be Rs. 105 i.e. Rs. 100 bill amount + Rs. 5 tax. So, tax % is excluded in sale bill.

b. Tax Paid- Tax% is included in Tax Paid. Suppose, bill is of Rs 100 and 5% tax is included in the bill i.e. Rs 95 is the value of goods of 5% tax and Rs. 100 is the total bill amount.

c. Exempted- Exempted means tax free, which means customer doesn’t have to pay tax in this.

Suppose select 'Taxable'.

• Then, press 'Ctrl+W' key and click on 'Yes' button to save the changes.

After following the above steps, the user can select Sale Type in Marg ERP Software.