Activating Avalara AvaTax

There are over 12,000 taxing jurisdictions in the U.S., with localities increasing tax rates on a regular basis. Without an automated sales tax system in place, it is almost impossible for a company to administer sales tax collection. Avalara AvaTax is a cloud-based solution automating transaction tax calculations and the tax filing process. Avalara provides real-time tax calculation insuring your transaction tax is calculated based on the most current tax rules.

Credentials to configure the integration

To configure the integration with Avalara you will need the Account Number, the Licence key, the Service URL and the Company code. 

• Account Number is provided in the email you received from Avalara when you purchased Avalara Services. Otherwise you can find your Account Number after logging in to the AvaTax Admin Console, at the top right of window.
• Licence Key is also provided in the email you received from Avalara. Avalara can not see or provide you your license key, so it is recommended either to copy-paste this number in a document during activating your account or  to save the email that provides it.
• Service URL: is different for development and production: 
  • Production: https://rest.avatax.com 
  • Development (testing): https://sandbox-rest.avatax.com
• Company Code is the code you have identified when you activate your AvaTax account. You can also find the company code, after logging in to the Admin Console > Organization Tab, is listed under Company Code column 

Connect to AvaTax

After installing the AvaTax integration you need to configure the integration

1. Go to Setup > Administration > System Options > Taxes
2. Click Add new engine > Select Avalara AvaTax as Tax Engine
3. Enter your Avalara AvaTax Credentials:
   • Account Number: Provided during your AvaTax account activation process.
   • Software License Key: Provided during your AvaTax account activation process
   • Service URL: URL to connect to the Development or Production AvaTax services
   • Company Code/ID: Company profile identifier in the AvaTax Admin Console
4. Click the Test Connect button.
   

Configure Avalara AvaTax

Once connected, you might proceed to fill in all required fields.

• Is active - Turn off the AvaTax calculation service.
• Save and Commit Documents to AvaTax – Enables tax document submission to Avalara’s AvaTax service for record keeping. With this setting enabled, transactions will be posted and committed to the AvaTax Admin Console.
• Default Setup Fee Tax Code – The default Avalara AvaTax System Tax code used for Setup Fees
• Link to AvaTax Admin Console – Access the Avalara AvaTax Admin Console