After you activate AvaTax and set up your company profile, install and configure AvaTax for your accounting software. During configuration, customize your setup to fit your unique business needs for things like:
- Tax calculation settings for various tax types
- Exemption settings if you have exempt customers
- Product taxability settings
Update these settings when your business needs change.
If you've previously installed the integration, learn how to upgrade to the latest version.
Download AvaTax for your accounting software
To connect your accounting software to AvaTax, download your integration software.
- In AvaTax, on the Home tab, click Get Started.
- In the Download and Install Your Integration Software section, click Download Software.
- In the Download Your AvaTax Connector Software window, click the arrow next to the name of your software, and then download the latest version of your integration. If the file isn't available for download, clear your browser's cache, and log back into AvaTax.
- Save the .zip file somewhere on your computer that's easy to find.
- Right-click the .zip file and extract the installation folder or file (.exe, .pdf, or .msi).
Install AvaTax for your accounting software
Before you install:
- Consult with your solution provider to make sure that Sage Sales Tax for Sage 300 Powered by AvaTax won't interfere with any other Sage 300 add-ons
- Make sure all Sage 300 users are logged out and that Sage 300 is closed
- Uninstall any previous versions of Sage Sales Tax for Sage 300 Powered by AvaTax
To install Sage Sales Tax for Sage 300 Powered by AvaTax:
- Right-click the .exe file that you downloaded from AvaTax, click the Compatibility tab, and do the following:
- Under Compatibility mode, click Run this program in compatibility mode for, and, on the menu under that, select your Windows operating system.
- Under Privilege level, click Run this program as an administrator, and then click OK.
- Double-click the .exe file.
- In the Destination Folder dialog box, choose the default installation and application folders or other folders on your computer instead of on a network, and then click Next.
- In the AvaTax is installing dialog box, click Next.
- In the Installation succeeded! dialog box, click Finish.
Configure Sage Sales Tax for Sage 300 Powered by AvaTax to fit your company's needs.
To activate data for Sage Sales Tax for Sage 300 Powered by AvaTax:
Configure AvaTax with the Setup Assistant
The AvaTax Setup Assistant guides you through the most essential configuration settings required to calculate tax.
To configure Sage Sales Tax for Sage 300 Powered by AvaTax with the Setup Assistant:
- Log in to your Sage 300 account.
- Go to Sage Sales Tax Powered by Avalara > AvaTax Setup Assistant, and then click Setup Assistant.
- In the Avalara Setup Assistant dialog box, next to Enter your Account Credentials and Company Code, click the > button, fill in the following, and then click OK:
- Account Number
- License Key
Use the information provided in an email from Avalara (sent to the email account you used to activate your account). It must match what's saved in AvaTax.
Use the information provided in an email from Avalara (sent to the email account you used to activate your account). It's the same credentials you use to log in to AvaTax Update. Web Service URL
Select Development if you have an AvaTax development account or Production if you have an AvaTax production account.
Click Test Connection, and then follow one of these steps:
- If you see the message "Configuration validated successfully," click OK and move to the next field.
- If you see the message "Connection Test failed," reenter your account information, and then click Test Connection again.
Company Code, Company Name Select the company code that you created when you activated your AvaTax account.
- In the Avalara Setup Assistant dialog box, next to Set Tax Liability Account, click the > button, and then:
- In the Map Tax Group dialog box, select the Tax Group Code as AvaTax.
- To launch the Customer Tax Group Update Utility, click Launch. The AvaTax Customer Tax Group Update Utility makes it easy to assign some or all of your customers to AvaTax so that Sage 300 uses AvaTax as the sales-tax provider when you process transactions for those customers.
- In the Finder - Tax Groups window, under Tax Group, select AvaTax, and then click Select.
- Fill in the following, click Update, and then click Close:
Field Action Record Type Select either Customer, Customer Group, or Tax Group. The Filter Criteria changes based on your selection. Country Select the appropriate country. State Select a range of states in which to apply AvaTax as the sales-tax provider to all the customers whom you select. Update all Ship-To records associated with customer Select if you want to assign the selected tax group to all the ship-to addresses of the customers.
- From Customer Number
- To Customer Number
Fill in both to define the range of customers.
- In the Avalara Setup Assistant dialog box, next to Enable Address Validation for USA and Canada, click the > button.
- In the Address Validation dialog box, do the following, and then click Ok:
- Optional: If you disable address validation, AvaTax uses the customer's ship-to address to calculate the correct sales tax. Sales tax might be calculated incorrectly if this option is disabled.
- In the Country Selection section, select the country for which you want to enable address validation and click >>.
- In the Avalara Setup Assistant dialog box, next to Test Calculating Tax, click the > button, and then follow one of these steps:
- If you see the message "Congratulations! You are connected to AvaTax," go to the next step.
- If you see any other message, follow steps 1-6 again.
- To set up your tax profile using the AvaTax tax profile assistant, in the Avalara Setup Assistant dialog box, click Click here to launch the AvaTax Tax Profile Assistant.
Configure AvaTax for your accounting software
- Go to Sage Sales Tax Powered by Avalara > AvaTax Setup, and then click AvaTax Options. The AvaTax Options dialog box opens.
- On the Security tab, fill in the following, and then click Test Connection:
Field Action URL Enter https://development.avalara.net if you have an AvaTax development account or https://avatax.avalara.net if you have an AvaTax production account.
- Account Value
- End User License Key
Use the information provided in an email from Avalara (sent to the email account you used to activate your account). It must match what's saved in AvaTax. Company Code Enter your AvaTax company code
- Complete or modify fields on the remaining tabs, using the following information, and then click Close to save your changes:
- Optional: The General tab:
Field Description Tax Code Mapping
Enable to map items to Avalara tax codes to account for varying taxability of products and services.
- Item Category - To use this option, ensure that the Order Entry module is active.
- Commodity Number - If the Accounts Receivable module is active, the A/R items window opens. If the Order Entry module is active, the I/C items window opens.
- AvaTax Table - To use this option, ensure that the Order Entry module is active.
Enable Entity/Use Code
Enable to map entity/use codes for your customer addresses to flag them as exempt from sales tax.
- Header Level Entity/Use Code - Exemption reasons that are linked to a customer to create an exemption when that customer and address combination is used in a transaction.
- Line Level Entity/Use Code - Exemption reasons that are attached at the line level in a transaction.
Send Item Account to AvaTax When selected, the general ledger account associated with the item is sent along with the item code when used in a transaction. Enable UPC Code Select to send a UPC instead of an item code to AvaTax. Using this feature may trigger additional fees. Talk to your Customer Account Manager (CAM) for more information. Disable Warning Messages Select this option to disable AvaTax warning messages in Sage 300. Default Freight Tax Code
To use this option, ensure the Order Entry module is active.
Click the search icon to open a list of available freight codes.
The freight code you select in this field applies to any codes mapped under OE/IC Options. The entry under Freight Code for Avatax carries the value that's in the Default Freight Tax Code field. If there are no values under Freight Code for Avatax, the Default Freight Tax Code won't be used in transactions sent to AvaTax.
Ship-Via Code (POS)
To use this option, ensure the Order Entry module is active. If the Order Entry module is not active, this field is a free text field to map Ship-Via Code for accounts receivable transactions.
AVPICK, the AvaTax default, creates a point-of-sale (origin-based sourcing) transaction when used in the ship-via field on a transaction sent to AvaTax. Populating this field with any ship-via code creates a point-of-sale transaction. We suggest you use the AVPICK default on transactions that require point-of-sale sourcing.
Request Timeout (in Seconds) Enter the length of time to wait for AvaTax to respond to calculation requests. We recommend that you don't adjust this setting. Enable Log
This function is primarily used for troubleshooting issues. If you choose to enable logging, all success, warning, and error messages are included in the log. Only enable logging if you've been instructed to do so by Avalara Support, because it can significantly slow down your service.
- The Tax Calculation tab:
To use this feature, ensure that the General Ledger module and either the Accounts Payable module or the Purchase Orders module is active.
Section Field and Description Optional: General Options
- Disable Tax Calculation - If you choose to disable tax calculation, your accounting software no longer uses AvaTax to calculate tax on transactions.
- Use Posting Date to Post Transactions - Select to use the date an invoice was posted instead of the document date.
- Tax Only Adjustment - Select to allow tax adjustments on credit memos.
- Always check addresses before calculating - Select to We recommend that you don't select this because it may lead to extra charges.
before AvaTax calculates sales tax.
- Resume Tax Calculation on Address Validation Failure - Select to let AvaTax calculate tax for a transaction even if it can't validate the address for it.
Default Tax Group
- Tax Group Code - Select a tax group code with AVATAX in it to calculate sales tax with AvaTax.
- Tax Liability Account - The account associated with the tax group.
- Currency Code - The currency associated with the tax group.
Consumer Use Tax Assessment
- Optional: Enable Use Tax Assessment - If enabled, your accounting software uses AvaTax to calculate consumer use tax on vendor consumer use tax transactions.
- Credit Account No. - Select the account to which you want to credit your vendor use liabilities.
- Debit Account Option - Select the account from which the accrual amount is debited.
- Debit Account No. - Select the associated account specified when you select Single Account in Debit Account Option.
- Optional: The Address Validation tab:
Section Field and Description General Options
- Disable Address Validation - If you disable address validation, AvaTax uses the customer's ship-to address to calculate the correct sales tax. Sales tax might be calculated incorrectly if this option is disabled.
- Return results in Uppercase - Select to save all address validation results in uppercase format.
Batch Processing Options
- During Batch Address Validation, continue processing regardless of errors - Select to ignore any errors during batch processing.
- Scan, Add and Report Validated Addresses during Batch Address Validation:
- Manually - Select to manually update records that were validated via the report displayed after the batch validation has finished.
- Automatically - Select to let AvaTax automatically update the records as they're validated; records not validated are displayed via a report after the batch validation has finished.
Country Selection Select the countries that you'd like to include in address validation using AvaTax.
- Optional: The About Avalara tab contains technical information about your connector/integration and your AvaTax account.
- Optional: The General tab: