Connector for NetSuite works with the suggested default settings. But you can adjust them any time based on your company's business needs.
- In NetSuite, go to Avalara > Setup > Configure Avalara.
- On the Avalara Configuration page, fill in the following, and then select Validate:
- Account Number
- License Key
View your account number in AvaTax. Select Settings > All AvaTax settings. The account number is listed at the top of the page as your Account ID. If you don't know your license key, get a new one. Service URL Select the type of account you're connecting to in AvaTax.
- Select the company code:
- If you're using NetSuite, from the AvaTax Company Code/Name list, select the company code you created in AvaTax.
- If you're using NetSuite OneWorld, map each subsidiary to a different company in AvaTax by choosing the appropriate company codes from the Default Company Code list on the Tax Calculation tab.
- Complete or modify fields on the Avalara Configuration page, using the following information, and then select Save:
Section Field and description Item Specific
- Enable Tax Code Mapping: Select to enable mapping items to Avalara tax codes to account for varying taxability of products and services. Item tax code mapping takes precedence over item tax class mapping.
- Override AvaTax TaxCode: Select to override your assigned Avalara tax code and send NT for non-taxable items. If this option is disabled, the assigned Avalara tax code is sent. In the list, if you select the blank option, AvaTax for NetSuite doesn't automatically change the tax code of the customer transactions if it already exists.
- Optional: User Defined 1 and 2: Select to display the UDF1 and UDF2 fields on the item line in transactions. The fields are automatically populated with information you entered in the User Defined 1 and User Defined 2 fields on an item page. Edit the UDF1 and UDF2 fields on a transaction to override the information automatically displayed in them without changing the information on the item page.
- Optional: Send Item Account to Avalara: Select to send general ledger account information for an item to AvaTax.
- Customer Code: Selected value is sent to AvaTax and appears as the customer code on transactions. Most customers select Customer Internal ID.
- Vendor Code: Selected value is sent to AvaTax and appears as the vendor code on consumer use transactions. Most customers select Vendor Internal ID.
- Optional: Default Customers to Taxable: Select the default option that makes customers in NetSuite taxable when you add or save their customer record.
- Optional: Default Tax Code To: Select the customers you'd like to consider taxable when you add or save customer records.
- Optional: Enable Entity/Use Code: Enable to map entity/use codes for your customer addresses to flag them as exempt from sales tax.
e General tab:
- Default Shipping Code: The default shipping code when you enter a shipping charge on a sales document. Ignore this field if your company doesn't ship a physical product.
- Show Warnings/Errors: Determines what displays on error logs.
- Optional: Billable Time Name: If you select Billable Time, AvaTax displays the phrase "Billable Time" in the item code field instead of the item name.
- Optional: Extensive Logging: Select to automatically log AvaTax activities and save the details in a local log file.
- The Tax Calculation tab:
Field and description
- Optional: Disable Tax Calculation: If you choose to disable tax calculation, your accounting software no longer uses AvaTax to calculate tax on transactions.
- Optional: Disable Tax Calculation for Quotes: If you choose to disable tax calculation for quotes, NetSuite no longer uses AvaTax to calculate tax on quotes.
- Optional: Disable Tax Calculation for Sales Order: If you choose to disable tax calculation for sales orders, NetSuite no longer uses AvaTax to calculate tax on sales orders.
- Optional: Disable Tax Calculation at line level: This setting affects only the frequency of tax calculations. If the Multiple Shipping Routes option is selected in NetSuite, Connector for NetSuite can calculate tax based on the location and ship-to address of each line, regardless of this setting.
- Enable Logging: Recommended. This feature allows the capture of detailed information about each transaction. If you enable logging, all success and error messages display in the log.
- Optional: Calculate Tax on Demand: Select to display a Calculate Tax button in sales documents in Edit view. When you select the Calculate Tax button, AvaTax performs an instant sales tax calculation.
- Optional: Tax Included Capability: Select to add a checkbox to indicate when sales tax is included in the amount in the Total Price field on sales documents. If you select the checkbox next to Total Price, NetSuite adjusts the line amount from which Total Price is pulling. The new line amount is the amount before tax, but the amount shown in Total Price doesn’t change because it includes the new line amount plus tax.
- Optional: Use Posting Period as Transaction Date during Tax Calls: Select to send the first day of the posting period as the transaction date instead of sending the header invoice date as the transaction date.
- Optional: Disable Location Code:
- (For NetSuite) If this option is selected, the default address on the Tax Calculation tab is sent as the origin address for transactions.
- (For NetSuite OneWorld) If this option is selected, the subsidiary address on the Tax Calculation tab is sent as the origin address for transactions.
- If this option is not selected, the location code for a transaction is sent based on where the location code is added:
- Only at the header level - The location name is sent as the location code for the transaction.
- Only at the line level - The location name of the 1st line is sent as the location code for the transaction.
- At both the header level and the line level - The location name of the 1st line is sent as the location code for the transaction.
- Optional: Enable UPC Code as Item Code:
- If you have purchased this feature, select this option to send a UPC instead of an item code to AvaTax.
- If you haven't purchased the feature, selecting this option has no effect. Contact you Account Manager to purchase it.
- Optional: Use Invoice Address for Tax Calculation on Returns: If this option is enabled, AvaTax uses the ship-to on the original invoice, instead of the ship-to on the credit memo, for tax calculations on returns.
- Optional: Allow Workflow Approval for Posting: If this option is enabled, and if you've selected to use invoices for approval routing in your NetSuite accounting preferences, only invoices with an approval status of Approved are sent to AvaTax. If this option is disabled, all invoices are sent to AvaTax, regardless of their approval status.
- Optional: Enable Discount Mechanism: Select to map discounts to an Avalara tax code. This is useful if you need to use non-taxable discounts, which don't affect the taxable amount of a line.
- Discount Mapping: Select whether you want to discount the gross or net amount when you use the Enable Discount mechanism.
- Discount Tax Code: Select to be able to select a tax code for discounts--in most cases, NT for non-taxable.
- Tax Rate:
- Select Show Base Rate to show a tax rate that includes all the jurisdictions for the transaction, whether or not that tax was applied to the transaction.
- Select Show Net Rate to show the tax rate applied to the transaction.
- Optional: Round-Off Tax Percentage (Decimal Places): Select to control the number of decimal places that display in a calculated tax rate. By default, 2 places display.
- Default Tax Code:
- In NetSuite, select the default tax code.
- In NetSuite OneWorld, select the company-specific tax code for each subsidiary.
- Default Tax Code Rate: The default tax code rate based on the tax code selected in Default Tax Code. To change this value, change the selection in Default Tax Code.
- Addressee: Type the addressee address details. The Address field shows a consolidated view of the addressee address.
- Validate Address: Select to validate the addressee address.
- Abort Save Operation on Tax Calculation Errors: Not recommended. This option prevents transactions and other documents with calculation errors from being saved for the following operations:
- Bulk Billing
- User Interfaces
- CSV Imports
- Scheduled Scripts
- Workflow action scripts
- The Consumer Use Tax / Input VAT tab:
Using this feature may cause you to incur additional fees. Talk to your Customer Account Manager (CAM) for more information. Consumer use tax doesn't apply to Canadian purchase transactions.
Section Field and description Consumer Use Tax Assessment Settings
- Enable Use Tax Assessment on Vendor Bill: If enabled, your accounting software uses AvaTax to calculate consumer use tax on vendor consumer use tax transactions.
- Use Tax Payable Liability Account: Select the account to which you want to credit your vendor use liabilities.
- GL Account to Debit: Choose the appropriate option for your company.
- Individual Item/Expense Account - Use the individual item or expense account details mapped to this vendor as the GL account to debit
- Select a Use Tax Debit GL Account - Select a relevant account from the Use Tax Debit GL Account list
Accrue Consumer Use Tax when a Vendor Bill is approved Select to enable accrual of consumer use tax when a vendor bill is approved, and then post to AvaTax. You must select this if you want transactions to post to AvaTax. Auto Self Assess on Imported Vendor Bills Optional: Select to enable self-assessment of consumer use tax on vendor bills imported from webservices to automatically compare the tax calculated by your vendor with the tax calculated by AvaTax. Item for Tax Paid to Vendor Optional: Select the item that represents the vendor-paid sales tax on vendor bills. This item amount is treated as the vendor-paid sales tax and used to compare with the tax calculated by AvaTax. Tax Accrual Date
Select the type of date that represents the tax date on vendor bills. This date is treated as the tax accrual date and used to calculate tax using AvaTax.
- Transaction Date (default option)
- Due Date: If this option is selected, but the due date is missing in the transaction, the transaction date is used as the due date.
- Posting Date: If this option is selected, the first day of the posting month is used as the posting date.
Input VAT Verification Settings
Optional: Enable Input VAT Verification on Vendor Bill: Enable to verify the VAT amount calculated by a vendor.
- The Address Validation tab:
Field and description
- Optional: Disable 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.
- Optional: Enable address validation on transaction(s): Select to create buttons for validating bill-to and ship-to addresses on transactions.
- Optional: Track previously validated addresses: If enabled, a checkbox on the customer card indicates when an address has previously been validated.
- Optional: Result in upper case: Select to save all address validation results in uppercase format.
- Batch processing:
- Automatic - Automatically accept address validation results when you process batches of transactions.
- Manual - Manually approve the address validation results.
- The About Avalara tab contains technical information about your connector/integration and your AvaTax account.