diff --git a/app/Http/Controllers/InvoiceController.php b/app/Http/Controllers/InvoiceController.php
index 5a14ea6244..260aaef3ba 100644
--- a/app/Http/Controllers/InvoiceController.php
+++ b/app/Http/Controllers/InvoiceController.php
@@ -324,11 +324,17 @@ class InvoiceController extends BaseController
             }
         }
 
+        // Tax rate options
+        $rates = TaxRate::scope()->orderBy('name')->get();
+        foreach ($rates as $rate) {
+            $options[$rate->rate . ' ' . $rate->name] = $rate->name . ' ' . ($rate->rate+0) . '%';
+        }
+
         return [
             'data' => Input::old('data'),
             'account' => Auth::user()->account->load('country'),
             'products' => Product::scope()->with('default_tax_rate')->orderBy('product_key')->get(),
-            'taxRates' => TaxRate::scope()->orderBy('name')->get(),
+            'taxRates' => $options,
             'currencies' => Cache::get('currencies'),
             'languages' => Cache::get('languages'),
             'sizes' => Cache::get('sizes'),
diff --git a/database/migrations/2016_03_23_215049_support_multiple_tax_rates.php b/database/migrations/2016_03_23_215049_support_multiple_tax_rates.php
new file mode 100644
index 0000000000..f9b9fd2218
--- /dev/null
+++ b/database/migrations/2016_03_23_215049_support_multiple_tax_rates.php
@@ -0,0 +1,38 @@
+<?php
+
+use Illuminate\Database\Schema\Blueprint;
+use Illuminate\Database\Migrations\Migration;
+
+class SupportMultipleTaxRates extends Migration
+{
+    /**
+     * Run the migrations.
+     *
+     * @return void
+     */
+	public function up()
+	{
+		Schema::table('invoices', function($table) {
+			$table->decimal('tax_rate', 13, 3)->change();
+		});
+
+		Schema::table('invoice_items', function($table) {
+			$table->decimal('tax_rate', 13, 3)->change();
+		});
+	}
+	/**
+	 * Reverse the migrations.
+	 *
+	 * @return void
+	 */
+	public function down()
+	{
+		Schema::table('invoices', function($table) {
+			$table->decimal('tax_rate', 13, 2)->change();
+		});
+
+		Schema::table('invoice_items', function($table) {
+			$table->decimal('tax_rate', 13, 2)->change();
+		});
+	}
+}
\ No newline at end of file
diff --git a/database/seeds/CurrenciesSeeder.php b/database/seeds/CurrenciesSeeder.php
index 9a8304b181..b3da84dad0 100644
--- a/database/seeds/CurrenciesSeeder.php
+++ b/database/seeds/CurrenciesSeeder.php
@@ -55,6 +55,7 @@ class CurrenciesSeeder extends Seeder
             ['name' => 'Saudi Riyal', 'code' => 'SAR', 'symbol' => '', 'precision' => '2', 'thousand_separator' => ',', 'decimal_separator' => '.'],
             ['name' => 'Japanese Yen', 'code' => 'JPY', 'symbol' => '¥', 'precision' => '0', 'thousand_separator' => ',', 'decimal_separator' => '.'],
             ['name' => 'Maldivian Rufiyaa', 'code' => 'MVR', 'symbol' => '', 'precision' => '2', 'thousand_separator' => ',', 'decimal_separator' => '.'],
+            ['name' => 'Costa Rican Colón', 'code' => 'CRC', 'symbol' => '', 'precision' => '2', 'thousand_separator' => ',', 'decimal_separator' => '.'],
         ];
 
         foreach ($currencies as $currency) {
diff --git a/resources/views/invoices/edit.blade.php b/resources/views/invoices/edit.blade.php
index a12ab9e1f9..505f0d332d 100644
--- a/resources/views/invoices/edit.blade.php
+++ b/resources/views/invoices/edit.blade.php
@@ -53,7 +53,7 @@
 
 	<div data-bind="with: invoice">
     <div class="panel panel-default">
-    <div class="panel-body" style="padding-bottom: 0px;">
+    <div class="panel-body">
 
     <div class="row" style="min-height:195px" onkeypress="formEnterClick(event)">
     	<div class="col-md-4" id="col_1">
@@ -243,9 +243,12 @@
                         style="text-align: right" class="form-control invoice-item" name="quantity"/>
 				</td>
 				<td style="display:none;" data-bind="visible: $root.invoice_item_taxes.show">
-					<select class="form-control" style="width:100%" data-bind="value: tax, options: $root.tax_rates, optionsText: 'displayName', attr: {name: 'invoice_items[' + $index() + '][tax]'}"></select>
-                    <input type="text" data-bind="value: tax().name, attr: {name: 'invoice_items[' + $index() + '][tax_name]'}" style="display:none">
-                    <input type="text" data-bind="value: tax().rate, attr: {name: 'invoice_items[' + $index() + '][tax_rate]'}" style="display:none">
+                    {!! Former::select('')
+                            ->options($taxRates)
+                            ->data_bind('value: tax')
+                            ->raw() !!}
+                    <input type="text" data-bind="value: tax_name, attr: {name: 'invoice_items[' + $index() + '][tax_name]'}" style="display:none">
+                    <input type="text" data-bind="value: tax_rate, attr: {name: 'invoice_items[' + $index() + '][tax_rate]'}" style="display:none">
 				</td>
 				<td style="text-align:right;padding-top:9px !important" nowrap>
 					<div class="line-total" data-bind="text: totals.total"></div>
@@ -351,9 +354,12 @@
 					<td>{{ trans('texts.tax') }}</td>
 				@endif
 				<td style="min-width:120px">
-                    <select id="taxRateSelect" class="form-control" style="width:100%" data-bind="value: tax, options: $root.tax_rates, optionsText: 'displayName'"></select>
-                    <input type="text" name="tax_name" data-bind="value: tax().name" style="display:none">
-                    <input type="text" name="tax_rate" data-bind="value: tax().rate" style="display:none">
+                    {!! Former::select('')
+                            ->options($taxRates)
+                            ->data_bind('value: tax')
+                            ->raw() !!}                    
+                    <input type="text" name="tax_name" data-bind="value: tax_name" style="display:none">
+                    <input type="text" name="tax_rate" data-bind="value: tax_rate" style="display:none">
                 </td>
 				<td style="text-align: right"><span data-bind="text: totals.taxAmount"/></td>
 			</tr>
@@ -712,11 +718,6 @@
             // otherwise create blank model
             window.model = new ViewModel();
 
-            // load the tax rates
-            @foreach ($taxRates as $taxRate)
-                model.addTaxRate({!! $taxRate !!});
-            @endforeach
-
             var invoice = {!! $invoice !!};
             ko.mapping.fromJS(invoice, model.invoice().mapping, model.invoice);
             model.invoice().is_recurring({{ $invoice->is_recurring ? '1' : '0' }});
@@ -736,7 +737,7 @@
                 model.invoice().custom_taxes2({{ $account->custom_invoice_taxes2 ? 'true' : 'false' }});
                 // set the default account tax rate
                 @if ($account->invoice_taxes && $account->default_tax_rate_id)
-                    model.invoice().tax(model.getTaxRateById({{ $account->default_tax_rate ?  $account->default_tax_rate->public_id : '' }}));
+                    //model.invoice().tax(model.getTaxRateById({{ $account->default_tax_rate ?  $account->default_tax_rate->public_id : '' }}));
                 @endif
             @endif
 
@@ -776,14 +777,7 @@
             @endif
 
         @endif
-
-        model.invoice().tax(model.getTaxRate(model.invoice().tax_name(), model.invoice().tax_rate()));
-        for (var i=0; i<model.invoice().invoice_items().length; i++) {
-            var item = model.invoice().invoice_items()[i];
-            item.tax(model.getTaxRate(item.tax_name(), item.tax_rate()));
-            item.cost(NINJA.parseFloat(item.cost()) != 0 ? roundToTwo(item.cost(), true) : '');
-        }
-
+        
         // display blank instead of '0'
         if (!NINJA.parseFloat(model.invoice().discount())) model.invoice().discount('');
         if (!NINJA.parseFloat(model.invoice().partial())) model.invoice().partial('');
diff --git a/resources/views/invoices/knockout.blade.php b/resources/views/invoices/knockout.blade.php
index 029a81bc0b..5fc2b9fee5 100644
--- a/resources/views/invoices/knockout.blade.php
+++ b/resources/views/invoices/knockout.blade.php
@@ -7,8 +7,6 @@ function ViewModel(data) {
     //self.invoice = data ? false : new InvoiceModel();
     self.invoice = ko.observable(data ? false : new InvoiceModel());
     self.expense_currency_id = ko.observable();
-    self.tax_rates = ko.observableArray();
-    self.tax_rates.push(new TaxRateModel());  // add blank row
     self.products = {!! $products !!};
 
     self.loadClient = function(client) {
@@ -47,11 +45,6 @@ function ViewModel(data) {
                 return new InvoiceModel(options.data);
             }
         },
-        'tax_rates': {
-            create: function(options) {
-                return new TaxRateModel(options.data);
-            }
-        },
     }
 
     if (data) {
@@ -59,10 +52,7 @@ function ViewModel(data) {
     }
 
     self.invoice_taxes.show = ko.computed(function() {
-        if (self.invoice_taxes() && self.tax_rates().length > 1) {
-            return true;
-        }
-        if (self.invoice().tax_rate() > 0) {
+        if (self.invoice_taxes()) {
             return true;
         }
         return false;
@@ -81,40 +71,6 @@ function ViewModel(data) {
         return false;
     });
 
-    self.addTaxRate = function(data) {
-        var itemModel = new TaxRateModel(data);
-        self.tax_rates.push(itemModel);
-        applyComboboxListeners();
-    }
-
-    self.getTaxRateById = function(id) {
-        for (var i=0; i<self.tax_rates().length; i++) {
-            var taxRate = self.tax_rates()[i];
-            if (taxRate.public_id() == id) {
-                return taxRate;
-            }
-        }
-        return false;
-    }
-
-    self.getTaxRate = function(name, rate) {
-        for (var i=0; i<self.tax_rates().length; i++) {
-            var taxRate = self.tax_rates()[i];
-            if (taxRate.name() == name && taxRate.rate() == parseFloat(rate)) {
-                return taxRate;
-            }
-        }
-
-        var taxRate = new TaxRateModel();
-        taxRate.name(name);
-        taxRate.rate(parseFloat(rate));
-        if (name) {
-            taxRate.is_deleted(true);
-            self.tax_rates.push(taxRate);
-        }
-        return taxRate;
-    }
-
     self.showClientForm = function() {
         trackEvent('/activity', '/view_client_form');
         self.clientBackup = ko.mapping.toJS(self.invoice().client);
@@ -251,11 +207,6 @@ function InvoiceModel(data) {
                 return new ItemModel(options.data);
             }
         },
-        'tax': {
-            create: function(options) {
-                return new TaxRateModel(options.data);
-            }
-        },
     }
 
     self.addItem = function() {
@@ -282,24 +233,18 @@ function InvoiceModel(data) {
         return self.has_tasks() ? invoiceLabels['rate'] : invoiceLabels['unit_cost'];
     }, this);
 
-    self._tax = ko.observable();
     this.tax = ko.computed({
         read: function () {
-            return self._tax();
+            return self.tax_rate() + ' ' + self.tax_name();
         },
         write: function(value) {
-            if (value) {
-                self._tax(value);
-                self.tax_name(value.name());
-                self.tax_rate(value.rate());
-            } else {
-                self._tax(false);
-                self.tax_name('');
-                self.tax_rate(0);
-            }
+            var rate = value.substr(0, value.indexOf(' '));
+            var name = value.substr(value.indexOf(' ') + 1);
+            self.tax_name(name);
+            self.tax_rate(rate);
         }
     })
-
+        
     self.wrapped_terms = ko.computed({
         read: function() {
             return this.terms();
@@ -663,55 +608,6 @@ function ContactModel(data) {
     });
 }
 
-function TaxRateModel(data) {
-    var self = this;
-    self.public_id = ko.observable('');
-    self.rate = ko.observable(0);
-    self.name = ko.observable('');
-    self.is_deleted = ko.observable(false);
-    self.is_blank = ko.observable(false);
-    self.actionsVisible = ko.observable(false);
-
-    if (data) {
-        ko.mapping.fromJS(data, {}, this);
-    }
-
-    this.prettyRate = ko.computed({
-        read: function () {
-            return this.rate() ? roundToTwo(this.rate()) : '';
-        },
-        write: function (value) {
-            this.rate(value);
-        },
-        owner: this
-    });
-
-
-    self.displayName = ko.computed({
-        read: function () {
-            var name = self.name() ? self.name() : '';
-            var rate = self.rate() ? parseFloat(self.rate()) + '%' : '';
-            return name + ' ' + rate;
-        },
-        write: function (value) {
-            // do nothing
-        },
-        owner: this
-    });
-
-    self.hideActions = function() {
-        self.actionsVisible(false);
-    }
-
-    self.showActions = function() {
-        self.actionsVisible(true);
-    }
-
-    self.isEmpty = function() {
-        return !self.rate() && !self.name();
-    }
-}
-
 function ItemModel(data) {
     var self = this;
     self.product_key = ko.observable('');
@@ -726,15 +622,15 @@ function ItemModel(data) {
     self.expense_public_id = ko.observable('');
     self.actionsVisible = ko.observable(false);
 
-    self._tax = ko.observable();
     this.tax = ko.computed({
         read: function () {
-            return self._tax();
+            return self.tax_rate() + ' ' + self.tax_name();
         },
         write: function(value) {
-            self._tax(value);
-            self.tax_name(value.name());
-            self.tax_rate(value.rate());
+            var rate = value.substr(0, value.indexOf(' '));
+            var name = value.substr(value.indexOf(' ') + 1);
+            self.tax_name(name);
+            self.tax_rate(rate);
         }
     })
 
@@ -758,16 +654,8 @@ function ItemModel(data) {
         owner: this
     });
 
-    self.mapping = {
-        'tax': {
-            create: function(options) {
-                return new TaxRateModel(options.data);
-            }
-        }
-    }
-
     if (data) {
-        ko.mapping.fromJS(data, self.mapping, this);
+        ko.mapping.fromJS(data, {}, this);
     }
 
     self.wrapped_notes = ko.computed({
@@ -842,7 +730,7 @@ ko.bindingHandlers.typeahead = {
                 }
                 @if ($account->invoice_item_taxes)
                     if (datum.default_tax_rate) {
-                        model.tax(self.model.getTaxRateById(datum.default_tax_rate.public_id));
+                        //model.tax(self.model.getTaxRateById(datum.default_tax_rate.public_id));
                     }
                 @endif
             @endif