Skip to main content
Avalara Help Center

Install and Configure Avalara AvaTax for Salesforce Billing

After you activate AvaTax Update and set up your company profile, install and configure AvaTax Update 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

Alter these settings when your business needs change.

Before you install

  • You must have all the following installed before installing AvaTax Update for Salesforce Billing:
    • Salesforce CPQ (must be installed before Salesforce Billing)
    • Salesforce Billing
  • If your organization has Salesforce CPQ+ installed, make sure it's Salesforce CPQ+ 1.5 or later.

Install the AvaTax Update integration for Salesforce Billing

Install the Avalara AvaTax Salesforce Mapper and the Avalara AvaTax for Salesforce Billing packages to enable tax calculation and address validation in Salesforce Billing.

To connect Salesforce Billing to AvaTax Update:

  1. In AvaTax Update, go to Settings > Manage Account. Avalara Account opens in a new tab.
  2. In Avalara Account, go to Integrations > Extractors & Connectors, and then click the link for the appropriate Avalara AvaTax Salesforce Mapper version (sandbox or production).
  3. On the Package Install page, select Install for All Users, and then click Install.
  4. To complete the installation, click Done.
  5. Ensure the user has full access permissions for Avalara custom objects (UDLs and UserMessages).
  6. Repeat steps 1-4 to install the appropriate version (sandbox or production) of AvaTax Update for Salesforce Billing.
  7. On the Installed Packages page, next to the AvaTax for Salesforce Billing package, click Configure to continue to configuration.

Configure

In addition to adding controls to pages in Salesforce Billing for quicker access to AvaTax Update actions, you must configure certain objects specifically to allow AvaTax Update to properly calculate taxes and validate addresses. If you use a custom field to record information included in any of the configurations in this section, use the XML on the tax integration page of AvaTax Salesforce Mapper to complete the configuration.

Find system integrator documents for each version on the release notes for the version.

Customize Salesforce Billing pages

  • On each indicated page, click Edit Layout, click Fields or Buttons, and then drag the appropriate button or field down to the Detail section of the page:
    Page Field Button
    Accounts
    • Exemption
    • Entity/Use Code
    • Business Identification Number
    • Is Seller Importer of Record
    Validate Addresses
    Legal Entities   Validate Addresses
    Contact   Validate Addresses

Configure the Billing Config object

  1. In Salesforce Billing, go to Setup > Build > Develop > Custom Settings, and then, next to Billing Config, click Manage.
  2. If a configuration named AVALARA AVATAX doesn't exist, create it:
    1. Click New.
    2. Fill in the following values, and then click Save:
      Field Value
      Name AVALARA_AVATAX
      Category Tax
      String Value Avalara AvaTax

Configure the Tax Config object

  1. In Salesforce Billing, go to Setup > Build > Develop > Custom Settings, and then, next to Tax Config, click Manage.
  2. Click New, fill in the following values, and then click Save:
    Field Value
    Name Avalara AvaTax
    Class Name AVA_BLNG.TaxCalculationAPI 

Configure an AvaTax Update tax integration

The default tax integration page doesn't contain all the necessary fields. Configure the page layout as part of creating the AvaTax Update tax integration.

Create the tax integration and configure the page 

  1. In Salesforce Billing, go to Tax Integrations, and then click New.
  2. In Tax Integration Name, enter a unique and easy to identify name for the tax integration, and then click Edit Layout.
  3. Click Buttons, and then drag the Test Connection button down beside the Tax Integration Detail heading, into the Custom Buttons space.
  4. Click Fields, and then drag the following fields down under the Tax Integration Detail heading, into the Information section:
    • AvaTax Account Number
    • AvaTax License Key
    • Doc Code
    • Customer Code
    • Validate Addresses
    • Save transactions to AvaTax
  5. In the Section Properties dialog box, select 1-Column, in the Section Name field enter AvaTax XML Mapping, and then click OK.

Configure the tax integration

  1. On the tax integration page you just created, fill out the following, and then click Save:
    Field Action
    Active

    Select this option to make the tax treatment visible and available to use.

    If you clear this option in the future, any existing objects with a lookup relationship to this treatment won't be changed.

    AvaTax Account Number 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 Update at Settings > Account ID.
    AvaTax 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 Update.
    Default Select to set this tax integration as the default.
    Sandbox
    • To test AvaTax Update using a sandbox account, select this option.
    • To send transaction to an AvaTax Update production account, clear this option.
    Tax Engine Select Avalara AvaTax.
    Doc Code
    • To use the invoice name as the doc code, select Name.
    • To use the invoice ID as the doc code, select Id.
    Customer Code
    • To use the account name as the customer code, select Name.
    • To use the account ID as the customer code, select Id.
    Validate Addresses Select this option to allow address validation for addresses in the US and Canada.
    Save transactions to AvaTax
    • To save transactions to AvaTax Update, select this option. (Recommended)
    • To show estimated tax but not save transactions to AvaTax Update, clear this option. We recommend you only clear this option when testing your integration.
    Test Connection Click to validate the information you've entered.
  2. Click Test Connection. When a successful connection is made, the AvaTax Config file is automatically added and displays in the Notes & Attachments section.

Restrict editing tax integrations

To restrict who can edit tax integration settings for the AvaTax Update tax integration, make sure only the System Administrator profile is set to use the AvaTax Update tax integration page layout.

Configure the AvaTax Update legal entity

  1. In Salesforce Billing, go to Legal Entities, and then click New.
  2. Fill out the following, and then click Save:
    Field Action
     Legal Entity Name Company code created in AvaTax Update
    Active Select this option to make the legal entity visible and available to use.
    Address fields Enter the ship-from (origin) address

Configure an AvaTax Update GL rule

  1. In Salesforce Billing, go to GL Rules, and then click New.
  2. Fill out the following, and then click Save:
    Field Action
    GL Rule Name Enter a unique, easy to identify, name for the rule
    Active

    Select this option to make the tax rule visible and available to use.

    If you clear this option in the future, any existing objects with a lookup relationship to this rule won't be changed.

Configure an AvaTax Update GL treatment

  1. In Salesforce Billing, go to GL Treatments, and then click New.
    1. Fill out the following, and then click Save:
      Field Action
      Name Enter a unique, easy to identify, name for the GL treatment.
      Active

      Select this option to make the tax treatment visible and available to use.

      If you clear this option in the future, any existing objects with a lookup relationship to this treatment won't be changed.

      GL Legal Entity Select the GL legal entity to use for saving transactions to AvaTax Update.
      Tax Rule Select the GL rule that's configured for AvaTax Update.
      Credit GL Account Select the tax payable account to record credit tax transactions to.
      Debit GL Account Select the accounts receivable account to record debit transactions to.

Configure an AvaTax Update tax rule

  1. In Salesforce Billing, go to Tax Rules, and then click New.
  2. Fill out the following, and then click Save:
    Field Action
    Tax Rule Name Enter a unique, easy to identify, name for the rule
    Active

    Select this option to make the tax rule visible and available to use.

    If you clear this option in the future, any existing objects with a lookup relationship to this rule won't be changed.

    Taxable (Yes/No)
    • To send the record to AvaTax Update to calculate tax, select Yes. Sending all records, including those for non-taxable lines, helps avoid tax compliance issues, especially for SST customers. (Recommended)
    • To not send the record to AvaTax Update and to set tax to zero, select No. We don't recommend using this to make invoice lines non-taxable. Instead, on the Tax Treatment page, in Tax Code, select NT.

Configure an AvaTax Update tax treatment

  1. In Salesforce Billing, go to Tax Treatments, and then click New.
  2. Fill out the following, and then click Save:
    Field Action
    Name Enter a unique, easy to identify, name for the tax treatment.
    Active

    Select this option to make the tax treatment visible and available to use.

    If you clear this option in the future, any existing objects with a lookup relationship to this treatment won't be changed.

    Tax Code Enter the desired tax code previously created in AvaTax Update. The code determines taxability of invoice lines to which this tax treatment is mapped.
    Tax Integration Select the tax integration you configured previously with AvaTax Update login details, and that will be used for calculating taxes and saving transactions to AvaTax Update.
    Tax Legal Entity Select the tax legal entity you configured previously to use for saving transactions to AvaTax Update.
    Tax Rule Select the tax rule you configured previously for AvaTax Update.

Set the tax calculation address for invoices

  1. In Salesforce Billing, go to Setup > Installed Packages, and then, next to Salesforce Billing, and then click Configure.
  2. On the General tab, from the Tax calculation is based on list, select the address AvaTax Update uses as the ship-to (destination) address when calculating tax on invoices.

Set product tax rules

  1. In Salesforce Billing, go to Product, select a product, and then click Edit.
  2. In the Salesforce Billing Configuration section, select the AvaTax Update rule you created, and then click Save.
  3. Repeat this for each active product.

AvaTax Update custom fields and integration points

The AvaTax Update for Salesforce Billing integration package includes the following custom fields:

Label API name Data type Description
AvaTax Account Number AvaTaxAccountNumber__c Text(255) Account number to connect to AvaTax Update account
AvaTax License Key AvaTaxLicenseKey__c Text(255) License key to connect to AvaTax Update account
Customer Code CustomerCode__c Picklist Select whether to send the invoice number or the invoice ID as the doc code
Doc Code DocCode__c Picklist Select whether to send the account name or the account ID as the customer code
Sandbox TestMode__c Checkbox The default account type is production. If selected, account type is changed from production to sandbox.
Save transactions to AvaTax Save_transactions_to_AvaTax__c Checkbox If selected, transactions are posted to AvaTax Update
Validate Address Validate_Address__c Checkbox If selected, address validation feature is enabled

AvaTax Update integrates with Salesforce Billing at the following points:

Object/Page Address validation Test connection Exemption Calculate tax Void tax Commit tax Tax date override Tax code mapping Legal entity
Account Yes   Yes            
Contact Yes                
Legal Entity Yes                
Tax Integration   Yes              
CPQ Order       Automatic       Yes  
Invoice       Automatic Yes Yes Yes    
Invoice Line               Yes Yes
Credit Note       Manual Yes Yes Yes    
Credit Note Line               Yes Yes
Debit Note       Manual Yes Yes Yes    
Debit Note Line               Yes Yes
Refund       No No No No No No
  • Was this article helpful?