Avalara AvaTax is a cloud-based solution automating transaction tax calculations and the tax filing process. Avalara provides real-time tax calculation using tax content from more than 12,000 US taxing jurisdictions and over 200 countries, insuring your transaction tax is calculated based on the most current tax rules.
Important Information When Using AVALARA
In order for the Avalara Tax Integration to work, make sure you have the Ship From Location filled out on your Settings > Shipping page.
The Avalara Tax Integration uses the address information from your Company Info page, so the "Use a Different Location to Calculate Live Shipping Rates" feature CANNOT be used with Avalara.
Make sure that the checkbox remains UNCHECKED if you intend to use Avalara to calculate taxes for your store.
To access your shipping address information, choose Settings > Company from your store's admin dashboard menu.
Enter/Edit your shipping address in the Company Address field.
Make sure and click the blue Save button at the top right after making your changes.
Non-Taxable Items When Using Avalara Tax
When using Avalara for your tax calculations, the standard Volusion product setting, located on a product in the Advanced Info section, on the Pricing tab (as illustrated below) WILL NOT work to make a product non-taxable.
Instead, the product can be marked on the Avalara website with an Avalara Tax Code indicating its tax exempt status, OR a tax-exempt Avalara Tax Code can be added to the product in the Avalara Tax Code Field located on the product in the Advanced Info > 3rd Party Integrations tab.
Only then will a product NOT be taxed.
Tax Exempt Customers with AVALARA
Setting a customer to be Tax Exempt is handled within the Customer > Accounts section of your Volusion store. Locate your customer record and in the Special Privileges section, locate the Pays State Tax dropdown and set the customer to Tax Exempt/Does Not Pay Tax. Click the blue Save button at top right after making these changes. This customer tax exemption only applies to US tax. It will not exempt a customer from any international VAT tax configured in Avalara.
Shipping Tax With AVALARA
Shipping is taxed when using the Avalara Tax feature. This is set by default from Avalara. The Volusion Shipping Tax settings (located in Settings > Shipping, in the Advanced Settings) have NO effect on this. Even if set to Do Not Tax Shipping on your Volusion store, if using Avalara, shipping WILL BE taxed.
Tax Settings on Coupons/Discounts
The Affects Tax checkbox, located in the Advanced Info section of a Coupon or Discount DOES NOT apply if you are using the Avalara Tax feature. When using Avalara, ALL coupons and discounts affect tax.
Connect Your AVALARA Account
To access the Avalara Integration, from your site's Admin Dashboard, choose Settings > Avalara Tax.
The Avalara "Learn" page includes a Sign Up With Avalara button with a link to begin the sign-up process with Avalara.
Clicking this link will open the Avalara website. If you have not yet signed up for an Avalara account, click the Get Started button at the top right of the page.
The Avalara "Learn" page also includes a Take The Tour button that links to Avalara's website.
Lower on the "Learn" page are a Sign Up link which directs you to Avalara's website and a Connect button that directs you to the "Connect" page on your site to begin the activation process.
At the bottom of the page a Sign Up With Avalara button directs to Avalara and the Connect Your Account link takes you to the "Connect" page.
Connect Your Avalara Account
Once you have completed your sign-up process with Avalara, click the Connect link at the top of the page to begin the set-up process.
On the "Connect" page enter your Avalara Account Number (as provided by Avalara) in the indicated field.
Then, enter your Avalara License Key in the indicated field. The License Key is provided by Avalara.
This will activate the Avalara Company Code dropdown menu. Choose the appropriate Avalara Company Code for your store.
To initially activate your Avalara Tax Integration, click the Activate Avalara slider. This will activate the integration, clicking the Connect button is not necessary.
The Connect button is used in the event you need to reconnect after making changes. Alternatively, the button may show Save for some changes, or Test Connection when no changes have been made. Clicking the Test Connection button will verify that your connection to Avalara is working correctly.
The Test Mode slider, if toggled on, uses a “sandbox” instead of your production Avalara account. Contact Avalara if you wish to establish a Sandbox Account. Test Mode should not be used while a store is live as it will prevent any order data from being pushed your production Avalara account.
The Disable Document Recording slider, if toggled on, will not send copies of your orders to Avalara. Avalara will be used for tax calculation but not keep record of your orders.
The Download Logs link will download a CSV file of all Avalara logs for the last 7 days which includes:
All tax calculation calls to Avalara which happen during checkout
All document recording calls, meaning every time an order is sent to Avalara for the first time, or to update Avalara when an order is modified
Additional changes can be made on your Avalara Dashboard page, accessible by clicking the Avalara Dashboard link at the bottom of the Connect page.