> Not sure where you get "#ZTHOME\#ZTTOOLS\test.bat" ...
> Bob

From here in your original post
@echo off
REM Make batch file of tagged files and rename searchable ones to "* [searchable].*"
REM #ZTTag #ZTTemp\~ZTTag.bat -f"#ZTHOME\#ZTTOOLS\PDFTOOLS\test.bat" "%1" test.xyz
Call #ZTTemp\~ZTTag.bat



> My code correctly works on the first tagged file but never calls the
> second in the list.
Because you are not "CALL"ing the test.bat script, so on the first line of the #ZTTag generated script you are chaining to the test.bat script, instead of calling to the test.bat script, so only the first line will be processed.

You need to update to this
REM #ZTTag #ZTTemp\~ZTTag.bat -fCall "#ZTHOME\#ZTTOOLS\PDFTOOLS\test.bat" "%1" test.xyz