How to handle discounts in Netsuite?

Overview

You need to use discounts in Netsuite which are passed to Avalara AvaTax.

NetSuite Basic

There are distinct ways to apply discounts in NetSuite, each is shown in Avalara AvaTax differently:
- A discount line can be added as a line below another line on a sales document.
  This method of discounting will reduce the line above by the specified amount before AvaTax gets the original line amount. The discount line will not appear in AvaTax.
- A discount on the document can be applied by selecting a Discount Item (normally above the lines on the Items tab, field entitled 'Discount Mapping").
  - The Discount Type: Net Amount, will allow a discount of a percentage on all lines marked to be discounted (defaulted to all) by the specified percentage.
  - In AvaTax, this will be shown as a discount, using the AvaTax discount field.
- The Discount Type: Gross Amount, will discount the specified amount from the whole document.
  - In AvaTax, this will be shown as a single line.
  - The tax code can be specified in the Avalara settings in NetSuite on the tax calculations settings, in the Discount Tax Code field.
Select whether you want to discount the gross or net amount when you use the Enable Discount mechanism in the Avalara configuration (Tax Calculation tab).