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Avalara Help Center

Why is my taxable customer not charging tax?

Overview

When calculating tax for a customer it results in zero tax rather unexpectedly.

Environment

Avalara Avatax

Resolution

  • In the Avalara Admin console
  • In the transactions tab look for the document in question
  • In the Transaction Detail expand the line in question by clicking the > Symbol
  • If the Amount is in the Exempt filed.
  • If there is a symbol on the line it means there's an exemption certificate on file for the customer
  • If there is not exemption certificate click the Edit button
    • Confirm that the Exemption No and Entity Use Code fields are not populated

 

  • Go to the lines tab and edit the line in question
    • Confirm that the Exemption No & Entity Use Code filed is not populated

  • If the amount is in the Non-Taxable field
  • Make sure that you have nexus activated for the state in question which is explained here
  • Confirm you don't have any custom rules changing the taxability of the tax code
  • Confirm that the taxability of the tax code didn't change for the current month which can be confirmed here
    • Select the current month
    • Choose Tax Rule Content Updates from the Table of Contents

 

  • If you are unable to find out why your customer is not charging tax when you expected to please e-mail the following information to Support@avalara.com
    • Account Number & Environment you're working in (Production or Development)
    • Company Name that contains the transaction
    • Document Code
    • Document Date
    • Customer Code