Default tax rates in Xero
The most commonly used tax rates are already set up in Xero. You can edit most of them, and add your own custom rates.
About default tax rates
- The default list of rates is based on standard NZ GST rates.
- The Accounts using this Tax Rate column refers to the accounts in your chart of accounts that will use this rate by default when you select the account on a transaction. You don't have to use the default tax rate on a transaction. You can change it to another rate on your invoice, bill or other transaction.
- You can add your own tax rates and apply them as the default for accounts in your chart of accounts.
- You can edit most of the default rates. Pay particular attention to the tax type, as this determines how these rates are reported. Contact your accountant or bookkeeper if you're unsure how to set up your tax rates.
- The tax treatment and tax rate you select on a transaction determine where the transaction is reported on the GST Return. Review this information before editing default rates or creating new rates.
Default tax rates
|15% GST on Income||15%|
|15% GST on Expenses||15%|
|GST on Imports||0%|