Skip to main content
Avalara Help Center

ACTION NEEDED: Changes to funding liability bank account by February 1, 2021

What is happening

Effective February 1, 2021, Avalara will change the bank account owners from Avalara, Inc. to Avalara Client Trust (a Delaware statutory trust), a subsidiary of Avalara, Inc.  

When accounts are migrated to Avalara Client Trust, the account type, number, and financial institution holding the account will all stay the same.  The only change is that Avalara Client Trust will become the account owner.

Based on how you transmit funds for your tax obligations, see below for the action you need to take.

What you need to do

Based on how you transmit funds for your tax obligations, see below for the action you need to take.

Tax obligations funded via wire transfer

When the account holder is changed to Avalara Client Trust, the account type, number, and financial institution holding the account will all stay the same.  

Because your business currently funds tax obligations via wire, you will need to notify your institution of the new account holder by February 1, 2021. This will ensure funds wired to Avalara are not rejected and Avalara can continue to fulfill tax remittances on your behalf.

NOTE: If Avalara is unable to file or pay your tax obligation in a timely manner due to rejection of wire funds, you may receive a tax notice with penalties and interest assessed.

Tax obligations funded via ACH

When the account holder is changed to Avalara Client Trust, the account type, number, and financial institution holding the account will all stay the same.  

Because your business currently funds your tax obligations via ACH, contact your financial institution and

  1. Determine if any ACH Fraud Filter requires the bank account holder name as a verification point. 
  2. If so, on February 1, 2021 change the name of the account holder to Avalara Client Trust within your ACH fraud filter tool at your bank.

NOTE: If Avalara is unable to file or pay your tax obligation in a timely manner due to ACH payment issues, you may receive a tax notice with penalties and interest assessed.