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Avalara Help Center

Connector settings for QuickBooks Online

This article applies to:Connector for QuickBooks Online

AvaTax for QuickBooks Online works with the suggested default settings, but you can update them to meet your company's business needs.

Launch Avalara AvaTax

Launch Avalara AvaTax to manage your integration.

Steps

  1. In QuickBooks Online, go to Apps.
  2. Click the My Apps tab.
  3. Scroll the page to locate Avalara AvaTax, and then click Launch next to it.
    AvaTax for QuickBooks Online home page is displayed in a new tab.

Manage tax calculation

Steps

  1. Launch Avalara AvaTax to open the AvaTax for QuickBooks Online home page.
  2. The Calculation active check box is by default selected to enable AvaTax for tax calculation.
  3. (Optional) If you want to disable tax calculation, clear the check box.

Manage integration settings

Steps

  1. Launch Avalara AvaTax to open the AvaTax for QuickBooks Online home page.
  2. Click AvaTax connector settings.
  3. The AvaTax connector settings page invokes the following details under Avalara account:
    • Account ID: Your AvaTax account number

    • Avalara Username: The username you use to log in to AvaTax

    • Avalara Company: The company you linked to AvaTax

  4. Manage the following Integration Settings:

    • Address Validation: If you disable address validation, AvaTax uses the customer's ship-to address as entered to calculate the correct sales tax. Sales tax might be calculated incorrectly if this option is disabled.

    • Calculate tax for:

      • All Customers: If selected, QuickBooks Online sends all transactions to AvaTax for tax calculation, and then AvaTax exempts customers marked exempt.

      • Only Taxable Customers: If selected, QuickBooks Online sends transactions for only taxable customers. No exempt customer transactions are sent to AvaTax.

    • Sales Tax Item: A tax item created by AvaTax to mark customers as taxable. Leave it as default unless someone at Avalara tells you to change it.

Manage where you collect tax

AvaTax uses certain criteria to suggest places you may need to collect tax.

Steps

  1. Launch Avalara AvaTax to open the AvaTax for QuickBooks Online home page.
  2. Click Manage where you collect tax.
  3. Review the regions where you're automatically set up to collect tax.
  4. Add regions based on your company's needs.

Manage tax reconciliation

Sometimes the values of calculated taxes displayed in AvaTax may not match with those in QuickBooks Online. You can recalculate taxes to fix such instances by using the Reconciliation utility.

Steps

  1. Launch Avalara AvaTax to open the AvaTax for QuickBooks Online home page.
  2. Click Reconciliation utility.
  3. Filter transaction for a window of maximum 90 days, and then click Search.
  4. Under Results, view the number of inconsistent, consistent, and total transactions.
  5. If there are any inconsistent transactions, click Recalculate Tax.
    The table below the Recalculate Tax button displays QBO taxes and AvaTax taxes for all invoices.

Disconnect Avalara AvaTax

Steps

  1. Launch Avalara AvaTax to open the AvaTax for QuickBooks Online home page.
  2. Click Disconnect Avalara AvaTax.
    Your QuickBooks Online service gets disconnected from your AvaTax account.