1. Microsoft Dynamics SL connector for AvaTax
Jeff Suwyn
Plumbline Consulting
Mark Fulton
Avalara

2. Our mission is to help businesses of all sizes achieve compliance by delivering comprehensive, automated, cloud-based solutions that are fast, accurate, and easy to use
Headquarters Seattle, WA
Irvine, CA | Bainbridge Island, WA | San Diego, CA | Rocklin, CA | Falls Church, VA | Durham, NC | Green Bay, WI | Houston, TX | Harrisburg, PA | Denver, CO | London, England | Brighton, England | Pune, India | Dublin, Ireland | Sau Paulo, Brazil
Flagship product, AvaTax, supplies end-to-end compliance solutions for tax calculation, exemption certificate management, and returns processing services
Certified connector for Dynamics SL

3. Our reason for being
42% would rather than a root canal than go through a sales tax audit
42% think acing the SATs is easier to accomplish than mastering sales and use tax regulations
48% think a Rubik’s Cube would be easier to master than sales and use tax laws
69% say that understanding sales tax compliance is one of the most confusing aspects of the accounting team’s job
Source: Wakefield Research 2015

4. 70% of accounting professionals say their companies conduct sales tax online. Yet 39% of accounting professionals don’t know all of the states where their business has nexus.
Source: Wakefield Research 2015

5. Average annual cost to manage sales and use tax
The cost of compliance
Average annual cost to manage sales and use tax
$63,000 (Small)
$67,000 (Mid-size)
Administration of taxability changes
$7,153
$10,620
Tax return prep and filing
$12,851
Responding to auditor requests and managing the audit process
$7,080
Managing customer exemption certificates
$6,084
$7,080
$7,985
Researching product taxability rules
$8,668
Now see what those hours amount to in $$$.
Figures are based on an average salary of the following positions: Finance Manager, Financial Controller, Tax Manager
Average = Approx. $50 an hour
Source=Payscale.com
Researching nexus status
$9,887
$5,830
Managing use tax requirements
$11,079
$12,738
Small
Mid-size
Source: 2015 Aberdeen Group report

6. The cost of compliance – Enterprise
$393,664 / 749 hours annually lost to annual workload
Annual Hours
Administration of taxability changes
Tax return prep and filing
Responding to auditor requests and managing the audit process
Managing customer exemption certificates
Researching product taxability rules within each state
This slide provides the same analysis but for Enterprise organizations.
Researching nexus status
Managing use tax requirements
Source: 2015 Aberdeen Group report

7. Avalara’s Compliance Cloud Platform
Automated transactional tax compliance across the U.S. and over 100 countries worldwide

10. What Avalara brings to the table
A Go-live experience that focuses on ease-of-installation and getting clients up-and-running quickly
Urgency that comes with supporting clients’ returns deadlines
Avalara University that provides 24x7x365 access to resources
An Accountant’s Advantage Program that provides CPE credits
A return-on-investment model that is easy-to-understand and offers quick payback while reducing risk

11. Guaranteed Accurate
The right rate. Every time.
For as long as you are a customer of Avalara AvaTax, if you ever suffer a negative audit finding and financial loss related to an inaccurate result returned by the Avalara service, we will pay your uncollected tax, penalty and interest, or refund your prior 12 months’ service fee, whichever is lower. Learn more at Avalara.com.

12. Why do I need AvaTax’s online service?
Enjoy setting up tax ID’s in SL

13. Why do I need AvaTax’s online service?
Enjoy setting up tax ID’s in SL
Have the time to monitor tax changes
It’s fun and not stressful to make sure SL is updated with the latest tax updates
Manually maintaining and updating SL Tax information keeps my fingers busy
Repeat from previous slide

14. Microsoft Dynamics SL connector for AvaTax
Versions supported:
SL 2011 FP1 ( )
or later
SL 2015
or later

15. Microsoft Dynamics SL connector for AvaTax
Areas supported:
Accounts Receivable
Invoices
Project
Flexible Billings
&
Construction Billing
Order Management
Sales Orders
&
Shippers

16. MS Dynamics SL & AvaTax Process AR Invoice example
Status: Uncommitted
Tax calculated
Data is entered or processed in a SL screen and saved
SL transactions are written to AvaTax online admin console in an uncommitted status
Taxes are calculated online
Tax information is passed back and updates SL

17. Accounts Receivable Committed
After posting transactions in SL, SL process called AvaTax posting process is run to changes online status from uncommitted to committed

18. Customer Addresses
After posting transactions in SL, SL process called AvaTax posting process is run to changes online status from uncommitted to committed

19. Generates SL taxes lines
Flexible Billings
Uncommitted
Tax calculated
Special case
If you create Draft Invoices
If you don’t’ post them for days or months
It will not recalculate the taxes because you have already committed the amount.
When you finally print the invoice, it does update the date (invoice date) in AvaTax with the date that the Invoice was actually printed.
Generates SL taxes lines

20. Flexible Billings Committed
After posting transactions in SL, SL process called AvaTax posting process is run to changes online status from uncommitted to committed

21. Flexible Billings Invoice and Adjustment Maintenance Automatic Invoice
Constructions Billing

22. Project Address User defined Project Addresses Project Ship To
Project Address (ex PR, BI)
Customer Main Address

23. Generates SL taxes lines
Order Management
Sales Order
No entry in AvaTax
Tax calculated
Generates SL taxes lines

24. Generates SL taxes lines
Order Management
Shipper
Uncommitted
Tax calculated
Generates SL taxes lines

25. Order Management Committed
After posting transactions in SL, SL process called AvaTax posting process is run to changes online status from uncommitted to committed
You create a shipper in December,
But you don’t ship & invoice until January.
When you invoice, it is going to get the January invoice date updated in Avatax, but it is not going to recalculate the taxes.

26. Address
Committed

27. Order Management Setup
Customizations to
Sales Order
Shipper
Added Order Steps

28. What needs to be setup?

29. Setup Tax Maintenance Setup a SL Tax ID in the Tax Maintenance screen
Example: AVATAX

30. Setup Tax Categories
Setup Tax Categories as needed

31. Update Customer Maintenance
Update Customer’s Tax information

32. Entity/Use Codes
Assign Entity/Use codes to customers as needed

33. Validate address processes available
Company Maintenance
Customer Maintenance
Shipping Address (Order Management)

34. Address Validation Batch Utility

35. AvaTax Connector Setup
Enable/Disable – Entity/Use Code Entry

36. AvaTax Connector Setup
Are there any specific areas where you don’t want AvaTax turned on?

37. AvaTax Connector Setup
Enable/Disable – Address Validation

38. Future Needs? Purchase Orders No formal tax in SL PO screen
Add a Misc. Charges line item for Sales Tax?

39. Future Needs? Accounts Payable Voucher and Adjustment Entry
Calculate Tax
Line Item
Doc Total

40. jsuwyn@plumblineconsulting.com Mark.fulton@avalara.com