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Avalara Help Center

What happens when Avalara files a negative return?

Overview

You have a return that was filed with a negative amount and would like to know how to obtain the credit.

Environment

Avalara Returns

Resolution

  • Most jurisdictions do not accept negative returns unless it is caused by a prior payment that was larger than your tax liability.
    • In this event, Avalara would have paid all liability and prepayments to the jurisdiction.
    • If a credit is owed to your company, you will have to contact the jurisdiction for a refund or approval to use the credit on future returns to reduce the amount due, as Avalara is not holding on to any of these funds.

Next Steps

For further information on how to use a credit that is on file with a jurisdiction, please review How do I use a tax credit I have in a state.