Warehouse

AvaTax requires a Ship From address to be passed to the API to calculate tax. In the AvaTax connection, you can enter these values as the default Ship From that will be passed to AvaTax.

If you are shipping from multiple locations. You are able to also add your warehouse address information on any Fulfillment type connection in your Vrio account.

Address Validation

AvaTax delivers the most precise sales tax calculations when address validation is applied to the data being transmitted. Vrio offers two solutions to enhance this process: for headless customers, we provide an integration with Loquate, ensuring accurate address verification. Alternatively, on our hosted checkout platform, we leverage the Google Places API to validate addresses, further optimizing tax accuracy. When not using one of these options, be sure to pass a valid address to the Vrio API to get the most accurate tax calculations.

Entity / Use Codes

The AvaTax Entity Use Code is a classification system used within Avalara's AvaTax platform to help businesses manage tax-exempt transactions. It allows businesses to specify the reason for tax exemption when processing sales tax calculations.

These codes correspond to different exemption types, such as:

• Resale
• Government entity
• Nonprofit organization
• Manufacturing
• Agricultural production
• More examples

By assigning the correct Entity Use Code, businesses can ensure accurate tax calculation and proper documentation for audit purposes. This is especially useful when dealing with customers who qualify for tax exemptions under specific regulations.

Vrio enables the definition of Entity Use Codes at the customer address level, allowing customers to maintain multiple classifications based on their location.

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Default Entity / Use Code

By default, Vrio does not send a value.

Item Tax Codes

Avalara Tax Codes are standardized classifications used within the Avalara platform to categorize products and services for tax calculation purposes. These codes help determine the appropriate tax rates and rules applicable to each transaction based on the nature of the goods or services being sold. By associating each item with a specific tax code, businesses can ensure accurate and consistent tax calculations that align with local, state, and international tax regulations. Avalara’s extensive library of tax codes covers a wide range of industries and products, helping businesses automate and streamline their sales tax compliance processes.

Vrio enables these tax codes to be set at the item level, providing greater flexibility and control over tax classification for each individual product or service.

Tax Code Examples

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Default Tax Code

Vrio will not send any tax code unless specified. Avalara will set that code to the default of P000000.