Darboux Wronskian formulas allow to construct Darboux transformations, but Laplace transformations, which are Darboux transformations of order one cannot be represented this way. It has been a long standing problem on what are other exceptions. In our previous work we proved that among transformations of total order one there are no other exceptions. Here we prove that for transformations of total order two there are no exceptions at all. We also obtain a simple explicit invariant description of all possible Darboux Transformations of total order two.

In this paper it is shown that inclusions inside the Segal-Wilson Grassmannian give rise to Darboux transformations between the solutions of the $\KP$ hierarchy corresponding to these planes. We present a closed form of the operators that procure the transformation and express them in the related geometric data. Further the associated transformation on the level of $\tau$-functions is given.