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That's right. Highlight the book or books you want to edit then click on the "Edit Meta Information" button in the toolbar. You can then add whatever tags you want. For myself, I add the tag READ to all the books I've already read. At any time, I can search on the tags to display books I've read on not display books I've read (meaning it displays unread books). You can also dig down and search on various fields to find more specific info such as unread fiction by author etc. It's really very flexible and you can use any tags you want. For example, if you have books in multiple languages, you can create tags for each language. If you use Calibre to manage more than one reader or readers for yourself and your spouse, you can have tags for each and even "read" tages for each, like read-me, read-spouse, etc.
Extremely flexible. Although, I do recommend starting simple as it can get really easy to have so many tags that they become difficult to manage.
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