Crate Tax Determining Set: Tax Administrator ->Advanced Setup Options Tax determining factor sets

Crate Tax condition Set: Tax Administrator ->Advanced Setup Options Tax Condition set

Create tax Formula Tax Administrator ->Advanced Setup Options Tax Formula Here we can take tax basis from 0 to 100% whatever want. We can reuse the formula while creating tax rules

After Creation of above three create Tax Rule: Create 3 tax Rules one for state, one for county and another for City Tax Administrator ->Tax Configuration Tax Rule expert rule entry

Test Case:

Disable the Tax Exceptions which got migrated from 11i. Enter a Manual invoice; verify the tax details as show shown in the above screen, Verify that state is having any exception. Query Exceptions for a particular State: Tax Administrator Products Tax Exceptions

End date this Exception, and do Manual Invoice testing.

We can see all the tax rates instead of 0%