When I look at my liability worksheet, the amount on the Return Remittance does not match the Remit to Avalara amount, why is that?
- There are circumstances where the total remit to Avalara and return remittance amounts are slightly different on the liability worksheet. The reasons for the difference are varied, but are often tied to timely filing discounts.
- Timely filing discounts, or vendor discounts, are granted based on a variety of reasons and therefore, can change period to period.
- The vendor discount under Remit to Avalara is one period behind, even though the discount applied in Return Remittance is current.
- The vendor discount applied under Return Remittance reflects the current period liability.
- The vendor discount applied under Remit to Avalara reflects the amount of the filing discount paid for the previous period.
- To learn more about vendor discounts, please click here
- You may also see a difference between Return Remittance and Remit to Avalara due to Rounding amounts
- Avalara can only file returns using amounts that are rounded to two decimal places
- If your transactions produce a combined tax rate that is longer than two decimal places, the AvaTax service will round to two decimal places
- Then you will see the rounded amounts listed under the Return Remittance section of the liability worksheet