The interface was co-developed by the company’s subsidiary in the United States, Implico, Inc., and the tax experts at Avalara. By connecting the powerful tax tool AvaTax Excise with the SAP ERP system, it enables automated excise tax calculation for North American suppliers, distributors, retailers, and traders in the energy sector and other industries.
The proper calculation of excise taxes is a complex task – especially for downstream companies. In each process, there are many different factors that influence the tax rate: Products and blends. Origins and destinations. Effective dates and exemptions. Branded and unbranded products. Gross and net volumes. Additionally, there is another challenge for companies registered in North America: There, the different tax rates are regulated by the Federal Government as well as State Governments and Local Governments. Independently of each other, these jurisdictions adjust the rates several times a year.
As cloud service or on-premise installation, the Avalara Tax Connector 1.0 integrates the proven tax tool AvaTax Excise into the standard sales and purchase functions of a company’s SAP ERP system. In turn, this facilitates automated tax determination and calculation for a wide range of processes. The benefits are manifold and meaningful: AvaTax Excise minimizes the chance of inaccuracies and errors. It empowers its users to ensure consistency and manage complexity as their businesses grow. And it frees space for the teams to stay focused and deal with their key objectives rather than getting overwhelmed by manual work. Via automatic updates, the software is always up to speed. At any point, it provides quick and easy access to all relevant information.
The SAP integration certification confirms the technical compliance of Avalara Tax Connector 1.0 with SAP certification procedures. It also qualifies Implico and Avalara’s interface software for listing in the SAP Certified Solutions Directory. This creates visibility and builds trust. According to SAP, selecting a certified partner solution helps companies ensure that they can cut implementation times, lower integration costs, and be confident of compatibility with their SAP technology infrastructure.