There are many similarities in how categories and tags work. You can link both categories and tags to a news article. When creating a category or tag a page is automatically generated where all articles linked to that tag or category are visible.
The difference between them is:
1) You can assign a maximum of 1 category to an article. When creating an article, all categories are in a drop-down box on the right panel. Here you can select one category to link to the article. In contrast, you can link an unlimited number of tags to an article.
2) The name of the linked category will be included in the URL. Like www.namewebsite.com/category/article-name. Tag names are not visible in the URL.
