There are three ways to exempt customers from tax in AvaTax for Salesforce:
- Use the Exemption Certificate Management System (ECMS) of the Admin Console to create exemption records. The customer code on the certificate in needs to be the account name in Salesforce.
- Use an or exempt entity use type at the account level.
- Use the customer's tax registration number, called the Exemption Number.
Exempt customers from tax with entity/use codes
Before you assign an entity/use code to a customer, ensure that the Enable Entity/Use Code is enabled in the Avalara settings page. To exempt a customer by assigning entity/use codes, follow these steps:
- Go to Accounts and click on the account you want to assign an entity/use code.
- In the Account Details page, click Edit.
- Next to Entity/Use Code, type the applicable code. This code is sent to AvaTax only if the Enable Entity/Use Code is enabled in the Avalara settings page.
- Click Save.
Exempt customers from tax with their exemption number
In Salesforce Opportunity, the customer is exempted if the Non-Taxable field in Opportunity is enabled. Salesforce sends the Account Name as the exemption number to the Admin Console if the Exemption Number isn't added in the customer's Accounts.
- In Salesforce, go to Accounts.
- On the Accounts page, select the customer and click Edit.
- Go to Account Detail and type the Exemption Number.
- Click Save.
Here's an example of an exemption number in a customer's Account Detail.
- Sales tax calculated for a transaction:
- Transaction in the Admin Console: