Avalara Workflow
Automatically calculate and apply sales tax to invoices created in Rillet using Avalara (AvaTax). This workflow explains how tax is calculated, reviewed, and finalized for reporting.
Before You Begin
Make sure the following requirements are met:
The Avalara (AvaTax) integration is connected.
Your Avalara company is properly configured.
Customers have accurate billing addresses.
For integration setup instructions, see Set Up Avalara (AvaTax).
Configure Customer Tax Settings
Open the customer profile in Rillet and review the tax settings.
Go to Account Receivable > Customers.
Select the customer profile.
In the Settings section, locate Default Tax Entity Use Code and select the Select the appropriate tax status. By default, customers are marked as Taxable (Non-Exempt).
Select Save Change.
Note The selected tax entity use code determines whether Avalara applies sales tax when invoices are generated.
Generate Invoices from Contracts
When a contract is created and confirmed, Rillet automatically generates invoices based on the billing schedule.
Each generated invoice is sent to Avalara for real-time tax calculation. No manual tax entry is required.
For detailed instructions on creating contracts, see Add a Contract.
Review Tax Calculations on Invoices
Open an invoice to review the applied tax.
You can view:
The total calculated tax amount
The jurisdiction-level breakdown (state, local, district, etc.)
If you edit invoice details:
Modify the invoice amount, date, or line items.
Click Save.
Tax recalculates automatically upon saving.
Important Tax rates are confirmed based on the invoice date. Changes to invoice details may trigger recalculation before the invoice is committed.
Commit Invoices for Tax Reporting
Invoices must be committed before they are finalized for tax reporting in Avalara.
Committing transactions:
Finalizes tax data in Avalara
Locks the invoice for reporting purposes
For detailed instructions, see Commit Invoices to Avalara.
Frequently Asked Questions
What happens if I change an invoice after it’s created?
Tax will automatically recalculate when the invoice is saved. If the invoice has already been committed, changes may require additional adjustments.
Do I need to manually send invoices to Avalara?
No. Invoice data is automatically sent when invoices are created or updated.
What does “Commit to AvaTax” do?
It finalizes the invoice in Avalara for tax reporting and locks the tax calculation.
Can I apply tax exemptions?
Yes. Set the appropriate exemption code in the customer profile under Default Tax Entity Use Code.
See Also
For related tax configuration and reporting guidance, review the following articles:
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