Navigate to Settings -> Tax Settings.
Click on the Create New button.
Enter the name of the Tax.
Enter the tax percentage (%).
Check to enable or disable to tax.
Independently - Tax value is calculated independently based on cart total and delivery.
With Tax - Tax rate is added together with a tax before calculation.
After Tax - Tax rate is added after a tax rate is applied.
Apply Tax To Shipping Location
If the tax rate applies to a specific shipping location, you can select here.
Apply Tax To Specific Products
Select the product you want to apply this tax to if not all products are affected
If you apply tax to a product list, the tax will be calculated at the line item. If you intend to calculate taxes to the whole cart, make sure its deselected.