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Establish a connection between Microsoft Dynamics GP and AvaTax and configure basic settings

This article applies to:AvaTax for Microsoft Dynamics GP

After you install the integration software, connect Microsoft Dynamics GP to AvaTax.

Before you begin

  • If you haven't created a company profile in AvaTax, create one now
  • Have your account number and license key with you.

    Avalara sends the account number and license key to the person who logs in to AvaTax and accepts the terms and conditions. If you can't find it, check to see if it was sent to someone else at your company.

    If you can't find your license key, you can generate a new one.

Steps

  1. Open Microsoft Dynamics GP.
  2. When the message "Do you wish to include new code now?" displays, select Yes.
    This message displays the first time you open Microsoft Dynamics GP after installing AvaTax for Microsoft Dynamics GP.
  3. Log in as SA to the company you wish to use AvaTax for.
    The AvaTax Setup Assistant opens.
  4. Select the arrow > next to Enter / Get Your Account Credentials and Company Code.
    The Avalara Account Credentials box opens.
  5. Enter your account credentials to connect Microsoft Dynamics GP to AvaTax:
    1. Enter your AvaTax account number and license key.
    2. For the WebService URL, select whether you want to connect to a production or a sandbox account.
    3. Select Test Connection.
      • If "Configuration validated successfully. Your license is good until Month Day, Year." displays, select OK.
      • If an error message displays, reenter your account number and license key, and then select Test Connection.
    4. Next to Company ID, choose the company in AvaTax you want to associate with your company in Microsoft Dynamics GP.
      If you only have one company in AvaTax, it is selected by default and grayed out.
    5. Select OK.
  6. Associate an AvaTax tax schedule ID with a ledger.
    1. In the Avalara Setup Assistant, select the arrow > next to Map General Ledger Account(s) to AvaTax Tax Schedule(s).
      The Map Tax Schedule box opens.
    2. Select the Search icon next to Tax Schedule ID.
      The Tax Schedules box opens.
    3. Select an AvaTax tax schedule ID from the list of tax schedules and then click Select.
      Once you select a tax schedule, the Tax Schedules box closes.
      • Select AVATAX if you want sales tax for all taxable states to be in one general ledger (GL) account.
      • Select AVATAX-M if you want to select a different GL account for each state.
    4. Back in the Map Tax Schedule box, select Map Tax Schedule.
      • If you selected the AVATAX tax schedule ID, the Tax Detail Maintenance box opens. Next to Account, select a GL account, and then select Save.
      • If you selected AVATAX-M, the AvaTax GL Account TaxDetail Mapping box opens. Next to Country Code, select the Search icon and then select a country. Select Redisplay. Assign a GL account for each state.
  7. After you associate the tax schedule with your ledger, tell Microsoft Dynamics GP to use AvaTax to calculate tax for customers or vendors.

    1. Select Set Tax Schedule ID Utility.
      The AvaTax Tax Schedule Update box opens.
    2. Next to Tax Schedule ID, select the Search icon and then elect the tax schedule ID you mapped to your ledger.
    3. Under Filter Criteria, use the filters and fields to select customers for which you want to use AvaTax to calculate tax.
    4. When you're ready, select Update.
    5. Repeat these steps to add other customers or vendors.
  8. Now choose whether you want AvaTax to validate addresses in the U.S. and Canada.
    1. Select the arrow > next to Enable Address Validation for USA and Canada.
    2. Select Enable Address Validation.
    3. Under Country Names, select the countries you want AvaTax to validate addresses in.
      Currently, AvaTax only validates addresses in the U.S. and Canada.
    4. Select --> to move the country or countries to Validate When Country Equals.
    5. Select OK.
  9. Finally, select the arrow > next to Test Calculating Tax to verify Microsoft Dynamics GP is communicating with AvaTax.

Microsoft Dynamics GP is now connected to AvaTax and ready to send transactions for tax calculation. To further customize the way Microsoft Dynamics GP interacts with AvaTax, see AvaTax settings for Microsoft Dynamics GP.