You would like to know what a line-level tax override is and how it can be used.
A line level tax override allows the user to manually alter the tax amount on a specific transaction line within the Admin Console.
When working with an existing transaction, this function allows you to change the tax amount to something other than the value that was previously calculated.
When working with new transactions, this setting allows the user to determine the tax amount on a given transaction line, instead of relying on Avalara AvaTax to perform the calculation.
The line level tax override has 3 options found in the Tax Override Type menu:
- TaxAmount: This option allows the user to manually edit the tax amount assigned to a transaction line.
- Exempt: This option forces the transaction line to calculate a zero dollar tax amount. It also forces the sales amount to be bucketed as exempt.
- TaxDate: This option changes the date used when Avalara AvaTax calculates on a specific transaction line. It is commonly used when creating credit memos, to ensure that tax calculated on the credit matches tax on the original transaction.