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VXLAN defines a MAC-in-UDP encapsulation scheme where the original Layer 2 frame has a VXLAN header added and is then placed in a UDP-IP packet. With this MAC-in-UDP encapsulation, VXLAN tunnels Layer 2 network over Layer 3 network.
With only a single switch and no VST, tagging is unneccessary. You need to configure which ports are members of which VLAN's. You need a router to route traffic between the VLAN's. The PowerConnect 2848 is a layer 2 switch and doesn't have any routing ability.