Sage 100

Just went live yesterday and there is an invoice today that has tax on it yet the customer has tax exempt numbers on the customer and all of the ship to locations.  Any ideas why?

------------------------------
Doug Higgs
Midwest Commerce Solutions, Inc
(312) 315-0960
Assistant to the Traveling Secretary
------------------------------

Is your tax schedule Avatax or Nontaxable?  If you have Avatax, you need to have the exemption information in Avalara.

------------------------------
Billy Balser
Sage 100 Consultant
Blytheco LLC
Atlanta GA
9495839500
------------------------------

Thank you @Billy Balser !!!  It would have been nice for someone at Avalara to mention that small fact.​​​​

------------------------------
Doug Higgs
Midwest Commerce Solutions, Inc
(312) 315-0960
Assistant to the Traveling Secretary
------------------------------

Original Message:
Sent: 10-02-2020 14:00
From: Billy Balser
Subject: Customer Has Tax Exempt Numbers But Avalara Calcs Tax

Is your tax schedule Avatax or Nontaxable?  If you have Avatax, you need to have the exemption information in Avalara.

------------------------------
Billy Balser
Sage 100 Consultant
Blytheco LLC
Atlanta GA
9495839500
------------------------------

@Billy Balser  I have one invoice that has the tax schedule on the header tab as NONTAX ​ and the ship to location code (tab 2) has AVATAX.  No tax is calculated.  If I change the header tab tax schedule to AVATAX then tax gets calculated.  Shouldn't the ship to code tax schedule override the customer maintenance / invoice header tab tax schedule?

------------------------------
Doug Higgs
Midwest Commerce Solutions, Inc
(312) 315-0960
Assistant to the Traveling Secretary
------------------------------

Original Message:
Sent: 10-02-2020 14:00
From: Billy Balser
Subject: Customer Has Tax Exempt Numbers But Avalara Calcs Tax

Is your tax schedule Avatax or Nontaxable?  If you have Avatax, you need to have the exemption information in Avalara.

------------------------------
Billy Balser
Sage 100 Consultant
Blytheco LLC
Atlanta GA
9495839500
------------------------------

Is the Ship-to Code address valid?

------------------------------
Bob Pfahnl
General Manager - Silicon Valley Office
DSD Business Systems
CA
408-641-0922
------------------------------

Original Message:
Sent: 10-03-2020 10:20
From: Doug Higgs
Subject: Customer Has Tax Exempt Numbers But Avalara Calcs Tax

@Billy Balser  I have one invoice that has the tax schedule on the header tab as NONTAX ​ and the ship to location code (tab 2) has AVATAX.  No tax is calculated.  If I change the header tab tax schedule to AVATAX then tax gets calculated.  Shouldn't the ship to code tax schedule override the customer maintenance / invoice header tab tax schedule?

------------------------------
Doug Higgs
Midwest Commerce Solutions, Inc
(312) 315-0960
Assistant to the Traveling Secretary
------------------------------


Original Message:
Sent: 10-02-2020 14:00
From: Billy Balser
Subject: Customer Has Tax Exempt Numbers But Avalara Calcs Tax

Is your tax schedule Avatax or Nontaxable?  If you have Avatax, you need to have the exemption information in Avalara.

------------------------------
Billy Balser
Sage 100 Consultant
Blytheco LLC
Atlanta GA
9495839500

I just re-validated. "Address Validation Successful".  Ship to code has Tax Schedule set to AVATAX with no exemption values entered.  Customer maintenance has the tax schedule set to NONTAX.  The invoice retrieves the NONTAX tax schedule from customer maintenance and puts it on the invoice header tab 1 as expected.  However, I would expect the tax to be calculated using the tax schedule attached to the ship to address code, otherwise what's the purpose of the ship to code tax schedule.

------------------------------
Doug Higgs
Midwest Commerce Solutions, Inc
(312) 315-0960
Assistant to the Traveling Secretary
------------------------------

Original Message:
Sent: 10-04-2020 11:18
From: Bob Pfahnl
Subject: Customer Has Tax Exempt Numbers But Avalara Calcs Tax

Is the Ship-to Code address valid?

------------------------------
Bob Pfahnl
General Manager - Silicon Valley Office
DSD Business Systems
CA
408-641-0922
------------------------------


Original Message:
Sent: 10-03-2020 10:20
From: Doug Higgs
Subject: Customer Has Tax Exempt Numbers But Avalara Calcs Tax

@Billy Balser  I have one invoice that has the tax schedule on the header tab as NONTAX ​ and the ship to location code (tab 2) has AVATAX.  No tax is calculated.  If I change the header tab tax schedule to AVATAX then tax gets calculated.  Shouldn't the ship to code tax schedule override the customer maintenance / invoice header tab tax schedule?

------------------------------
Doug Higgs
Midwest Commerce Solutions, Inc
(312) 315-0960
Assistant to the Traveling Secretary


Original Message:
Sent: 10-02-2020 14:00
From: Billy Balser
Subject: Customer Has Tax Exempt Numbers But Avalara Calcs Tax

Is your tax schedule Avatax or Nontaxable?  If you have Avatax, you need to have the exemption information in Avalara.

------------------------------
Billy Balser
Sage 100 Consultant
Blytheco LLC
Atlanta GA
9495839500

Yes it should.
Test the address by entering directly in the Avalara portal.

Bob Pfahnl
Sent from my iPhone


Original Message:
Sent: 10/4/2020 11:27:00 AM
From: Doug Higgs
Subject: RE: Customer Has Tax Exempt Numbers But Avalara Calcs Tax

I just re-validated. "Address Validation Successful".  Ship to code has Tax Schedule set to AVATAX with no exemption values entered.  Customer maintenance has the tax schedule set to NONTAX.  The invoice retrieves the NONTAX tax schedule from customer maintenance and puts it on the invoice header tab 1 as expected.  However, I would expect the tax to be calculated using the tax schedule attached to the ship to address code, otherwise what's the purpose of the ship to code tax schedule.

------------------------------
Doug Higgs
Midwest Commerce Solutions, Inc
(312) 315-0960
Assistant to the Traveling Secretary
------------------------------


Original Message:
Sent: 10-04-2020 11:18
From: Bob Pfahnl
Subject: Customer Has Tax Exempt Numbers But Avalara Calcs Tax

Is the Ship-to Code address valid?

------------------------------
Bob Pfahnl
General Manager - Silicon Valley Office
DSD Business Systems
CA
408-641-0922
------------------------------


Original Message:
Sent: 10-03-2020 10:20
From: Doug Higgs
Subject: Customer Has Tax Exempt Numbers But Avalara Calcs Tax

@Billy Balser  I have one invoice that has the tax schedule on the header tab as NONTAX ​ and the ship to location code (tab 2) has AVATAX.  No tax is calculated.  If I change the header tab tax schedule to AVATAX then tax gets calculated.  Shouldn't the ship to code tax schedule override the customer maintenance / invoice header tab tax schedule?

------------------------------
Doug Higgs
Midwest Commerce Solutions, Inc
(312) 315-0960
Assistant to the Traveling Secretary

@Doug Higgs Doug, maybe I'm reading this wrong but you said the ship-to has AVATAX but no exemptions entered. If there are no exemptions for the location you are shipping to, sales tax will be calculated. You need to enter specific exemptions for the Ship-To's ​

------------------------------
Kenny Daniel
TechnoClarity, Inc.
------------------------------

Original Message:
Sent: 10-04-2020 11:40
From: Bob Pfahnl
Subject: Customer Has Tax Exempt Numbers But Avalara Calcs Tax

Yes it should.
Test the address by entering directly in the Avalara portal.

Bob Pfahnl
Sent from my iPhone



Original Message:
Sent: 10/4/2020 11:27:00 AM
From: Doug Higgs
Subject: RE: Customer Has Tax Exempt Numbers But Avalara Calcs Tax

I just re-validated. "Address Validation Successful".  Ship to code has Tax Schedule set to AVATAX with no exemption values entered.  Customer maintenance has the tax schedule set to NONTAX.  The invoice retrieves the NONTAX tax schedule from customer maintenance and puts it on the invoice header tab 1 as expected.  However, I would expect the tax to be calculated using the tax schedule attached to the ship to address code, otherwise what's the purpose of the ship to code tax schedule.

------------------------------
Doug Higgs
Midwest Commerce Solutions, Inc
(312) 315-0960
Assistant to the Traveling Secretary
------------------------------


Original Message:
Sent: 10-04-2020 11:18
From: Bob Pfahnl
Subject: Customer Has Tax Exempt Numbers But Avalara Calcs Tax

Is the Ship-to Code address valid?

------------------------------
Bob Pfahnl
General Manager - Silicon Valley Office
DSD Business Systems
CA
408-641-0922


Original Message:
Sent: 10-03-2020 10:20
From: Doug Higgs
Subject: Customer Has Tax Exempt Numbers But Avalara Calcs Tax

@Billy Balser  I have one invoice that has the tax schedule on the header tab as NONTAX ​ and the ship to location code (tab 2) has AVATAX.  No tax is calculated.  If I change the header tab tax schedule to AVATAX then tax gets calculated.  Shouldn't the ship to code tax schedule override the customer maintenance / invoice header tab tax schedule?

------------------------------
Doug Higgs
Midwest Commerce Solutions, Inc
(312) 315-0960
Assistant to the Traveling Secretary


Original Message:
Sent: 10-02-2020 14:00
From: Billy Balser
Subject: Customer Has Tax Exempt Numbers But Avalara Calcs Tax

Is your tax schedule Avatax or Nontaxable?  If you have Avatax, you need to have the exemption information in Avalara.

------------------------------
Billy Balser
Sage 100 Consultant
Blytheco LLC
Atlanta GA
9495839500

@Kenny Daniel @Billy Balser  I think I have this squared away.  When a ship to code is entered or defaulted, the tax schedule on the header is populated with the tax schedule from the ship to code.  So, Avalara always uses the tax schedule on the invoice header.   So, if the tax schedule on the ship to code is AVATAX without an exemption value, and then the tax schedule on the header is later changed to NONTAX and the tax is recalculated, the tax will be 0 because Avalara always uses the tax schedule on the header.  This is what confused me.  I thought the tax schedule on the ship to code should be used in the recalculation, but is is not.

------------------------------
Doug Higgs
Midwest Commerce Solutions, Inc
(312) 315-0960
Assistant to the Traveling Secretary
------------------------------

Original Message:
Sent: 10-04-2020 19:23
From: Kenny Daniel
Subject: Customer Has Tax Exempt Numbers But Avalara Calcs Tax

@Doug Higgs Doug, maybe I'm reading this wrong but you said the ship-to has AVATAX but no exemptions entered. If there are no exemptions for the location you are shipping to, sales tax will be calculated. You need to enter specific exemptions for the Ship-To's ​

------------------------------
Kenny Daniel
TechnoClarity, Inc.
------------------------------


Original Message:
Sent: 10-04-2020 11:40
From: Bob Pfahnl
Subject: Customer Has Tax Exempt Numbers But Avalara Calcs Tax

Yes it should.
Test the address by entering directly in the Avalara portal.

Bob Pfahnl
Sent from my iPhone



Original Message:
Sent: 10/4/2020 11:27:00 AM
From: Doug Higgs
Subject: RE: Customer Has Tax Exempt Numbers But Avalara Calcs Tax

I just re-validated. "Address Validation Successful".  Ship to code has Tax Schedule set to AVATAX with no exemption values entered.  Customer maintenance has the tax schedule set to NONTAX.  The invoice retrieves the NONTAX tax schedule from customer maintenance and puts it on the invoice header tab 1 as expected.  However, I would expect the tax to be calculated using the tax schedule attached to the ship to address code, otherwise what's the purpose of the ship to code tax schedule.

------------------------------
Doug Higgs
Midwest Commerce Solutions, Inc
(312) 315-0960
Assistant to the Traveling Secretary


Original Message:
Sent: 10-04-2020 11:18
From: Bob Pfahnl
Subject: Customer Has Tax Exempt Numbers But Avalara Calcs Tax

Is the Ship-to Code address valid?

------------------------------
Bob Pfahnl
General Manager - Silicon Valley Office
DSD Business Systems
CA
408-641-0922


Original Message:
Sent: 10-03-2020 10:20
From: Doug Higgs
Subject: Customer Has Tax Exempt Numbers But Avalara Calcs Tax

@Billy Balser  I have one invoice that has the tax schedule on the header tab as NONTAX ​ and the ship to location code (tab 2) has AVATAX.  No tax is calculated.  If I change the header tab tax schedule to AVATAX then tax gets calculated.  Shouldn't the ship to code tax schedule override the customer maintenance / invoice header tab tax schedule?

------------------------------
Doug Higgs
Midwest Commerce Solutions, Inc
(312) 315-0960
Assistant to the Traveling Secretary


Original Message:
Sent: 10-02-2020 14:00
From: Billy Balser
Subject: Customer Has Tax Exempt Numbers But Avalara Calcs Tax

Is your tax schedule Avatax or Nontaxable?  If you have Avatax, you need to have the exemption information in Avalara.

------------------------------
Billy Balser
Sage 100 Consultant
Blytheco LLC
Atlanta GA
9495839500

A few things to think about, Doug.

1. In the Avatax configuration in Sage 100, do you have the "Enable Ship-To by Sales Order" selected? I assume so but want to check.
2. If you do have that checked, I'm wondering if the existence of  a non-Avatax schedule at the customer renders the ship-to's Avatax schedule invalid. As you know, when you key the customer for an order/invoice, the tax schedule takes on the customer's schedule. If you enter the ship-to,with a different schedule, that schedule overrides the customer's schedule. If you are not seeing that change when you key the ship-to, maybe there is a problem.
3. As I mentioned before, if you are using Avatax to calculate sales tax, exemptions are maintained in Avalara AND those exemptions are by customer by jursidiction. If the customer address is in Illinois and the ship to address is in Indiana, if you are tax exempt in both states you will need an exemption for both of those. If you only have the exemption in Illinois, you will be computing tax in Indiana.
4.  Just to be sure, I assume you are mixing NONTAX and Avatax for testing purposes only. You should always use Avatax so that you're returns are correct.

------------------------------
Billy Balser
Sage 100 Consultant
Blytheco LLC
Atlanta GA
9495839500
------------------------------

Original Message:
Sent: 10-03-2020 10:20
From: Doug Higgs
Subject: Customer Has Tax Exempt Numbers But Avalara Calcs Tax

@Billy Balser  I have one invoice that has the tax schedule on the header tab as NONTAX ​ and the ship to location code (tab 2) has AVATAX.  No tax is calculated.  If I change the header tab tax schedule to AVATAX then tax gets calculated.  Shouldn't the ship to code tax schedule override the customer maintenance / invoice header tab tax schedule?

------------------------------
Doug Higgs
Midwest Commerce Solutions, Inc
(312) 315-0960
Assistant to the Traveling Secretary
------------------------------


Original Message:
Sent: 10-02-2020 14:00
From: Billy Balser
Subject: Customer Has Tax Exempt Numbers But Avalara Calcs Tax

Is your tax schedule Avatax or Nontaxable?  If you have Avatax, you need to have the exemption information in Avalara.

------------------------------
Billy Balser
Sage 100 Consultant
Blytheco LLC
Atlanta GA
9495839500

@Billy Balser  "Enable Ship to by Sales Order Detail " is enabled.  I didn't know that NONTAX was only supposed to be used for testing.  I was hoping the tax exemptions could be managed from within Sage 100 and I didn't have to upload all of the exemptions to the Avalara site and then have to have someone manage the tax exemptions on the Avalara site whenever there is a change.  I changed all of the customers and ship to  codes that had tax exempt values from AVATAX to NONTAX.  Now I guess I need to changed them back to AVATAX and upload the tax exempt info to the Avalara site.

------------------------------
Doug Higgs
Midwest Commerce Solutions, Inc
(312) 315-0960
Assistant to the Traveling Secretary
------------------------------

Original Message:
Sent: 10-05-2020 07:41
From: Billy Balser
Subject: Customer Has Tax Exempt Numbers But Avalara Calcs Tax

A few things to think about, Doug.

1. In the Avatax configuration in Sage 100, do you have the "Enable Ship-To by Sales Order" selected? I assume so but want to check.
2. If you do have that checked, I'm wondering if the existence of  a non-Avatax schedule at the customer renders the ship-to's Avatax schedule invalid. As you know, when you key the customer for an order/invoice, the tax schedule takes on the customer's schedule. If you enter the ship-to,with a different schedule, that schedule overrides the customer's schedule. If you are not seeing that change when you key the ship-to, maybe there is a problem.
3. As I mentioned before, if you are using Avatax to calculate sales tax, exemptions are maintained in Avalara AND those exemptions are by customer by jursidiction. If the customer address is in Illinois and the ship to address is in Indiana, if you are tax exempt in both states you will need an exemption for both of those. If you only have the exemption in Illinois, you will be computing tax in Indiana.
4.  Just to be sure, I assume you are mixing NONTAX and Avatax for testing purposes only. You should always use Avatax so that you're returns are correct.

------------------------------
Billy Balser
Sage 100 Consultant
Blytheco LLC
Atlanta GA
9495839500
------------------------------


Original Message:
Sent: 10-03-2020 10:20
From: Doug Higgs
Subject: Customer Has Tax Exempt Numbers But Avalara Calcs Tax

@Billy Balser  I have one invoice that has the tax schedule on the header tab as NONTAX ​ and the ship to location code (tab 2) has AVATAX.  No tax is calculated.  If I change the header tab tax schedule to AVATAX then tax gets calculated.  Shouldn't the ship to code tax schedule override the customer maintenance / invoice header tab tax schedule?

------------------------------
Doug Higgs
Midwest Commerce Solutions, Inc
(312) 315-0960
Assistant to the Traveling Secretary


Original Message:
Sent: 10-02-2020 14:00
From: Billy Balser
Subject: Customer Has Tax Exempt Numbers But Avalara Calcs Tax

Is your tax schedule Avatax or Nontaxable?  If you have Avatax, you need to have the exemption information in Avalara.

------------------------------
Billy Balser
Sage 100 Consultant
Blytheco LLC
Atlanta GA
9495839500

Is your client utilizing Avalara Avatax (integration into Sage 100) and the Avalara Cert Capture?  If so, he Customer ID's need to be identical between the systems.  So Customer 00-1234567 needs to be the same in the Cert Capture.  If they are only using AvaTax in Sage, then the portal should not play a part.  On the Sales Order Invoice, do you see the exemption number on the totals tab, under the tax button?  I would expect to see AVATAX as the sales tax code and the exemption from the customer master and/or the ship to address there.  If the exemption is blank, then something is wrong.  Most likely this is an old sales order that did not have AvaTax added before it was invoiced.  I always test with a newly test sales order, and then invoice to see if it works; after go live.

------------------------------
Madeline Stefanou
RKL eSolutions, LLC
------------------------------

One of our consultants had this issue with their client last week.  Avalara was able to "duplicate" this issue.  Ship To Codes do not calculate sales tax correctly.  You may need to reach out to Avalara directly.

------------------------------
Madeline Stefanou
RKL eSolutions, LLC
------------------------------