Integrating MYOB Acumatica with External Tax Providers

If your organization sells products or provides services in the United States, you need to collect sales taxes and periodically remit them to the appropriate taxing authorities. Generally, the sales tax rate that applies to a particular transaction is determined by the location of the customer and the location of the seller, as well as whether the seller has a significant business presence (nexus) in the state of the customer.

The sales tax on a transaction is a combination of sales taxes paid to different tax authorities. In addition to the sales tax with the rate defined by the state, local jurisdictions may add various local taxes. There are up to 10,000 tax jurisdictions in the U.S., each with its own tax rates and rules. With this complexity and variation of rules, it can be difficult for most organizations to calculate and manage sales and use taxes.

In MYOB Acumatica, you can configure the automatic calculation of taxes by setting up online integration with an external tax provider (the AvaTax service provided by Avalara, the Tax Calculation service provided by Vertex, or another service provided by an external tax provider). Online integration between MYOB Acumatica and an external tax provider gives your organization the following benefits:

• Real-time calculation of taxes on all transactions
• Up-to-date tax rates for all tax jurisdictions in the United States
• Verification of customer addresses for determining the correct tax jurisdiction
• Management of customer reseller permits and exemption certificates
• The ability to easily create tax rules and use them for appropriate transactions automatically
• Filing of tax reports on behalf of each branch that reports separately to each tax authority involved

This chapter describes the details of configuring the online integration of MYOB Acumatica with built-in external tax providers.