Although tax calculation process is done in several steps. The basic idea is the get the instructions from relevant legislation and apply them using different excel formula and cell referencing and other techniques. In this tutorial we will learn a very basic tax calculator. And if taxation rules have not changed then you can use the old excel file for next period. But we have a rescue pack for you in the name of Excel! Many accountants have been using excel power to calculate income tax, sales tax or other different types of taxes very easily using excel in the blink of an eye. However, taxation calculations are most of the time tedious and if you need to make a small change you might have to punch millions of calculator keys again to get the tax liability calculated.
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