Deeper Sales Tax Integration with QuickBooks Online

We recently introduced our integration with the QuickBooks Online Automated Sales Tax engine, which simplified and automates the way sales tax is calculated and managed between Acctivate and QuickBooks Online.

In Acctivate Version 15 Service Pack 1, we expanded the functionality to give you even more precise control over how and when tax is calculated.

Item-Level Tax Classification Support

When Acctivate is integrated with QuickBooks Online and Automated Sales Tax (AST) is enabled, Acctivate will query AST as needed to calculate tax.

QuickBooks Online supports item-level tax classifications. Acctivate does not have this concept natively, so to mimic this behavior, Acctivate will create the sales order detail line’s Product Class as an item in QuickBooks Online. This item can have a specific tax classification assigned to it.

When Acctivate queries AST to get tax information, it will also check if the Acctivate product’s Product Class (QuickBooks Item) has a specific tax rule applied to it.

For example, in Acctivate, a company may contain a Product Class of “Collectible Coins.” This Product Class may be assigned to three different coin products.

If any of those products are included on a sales order with AST enabled, the Product Class “Collectible Coins” will be created within QuickBooks Online. On the product page in QuickBooks for that item, you can assign the sales tax rule “Coins that used to be US money and were sold for more than the stated value.”

Whenever any of the coin items are used on a sales order, Acctivate will pass the order information to the Automated Sales Tax engine with QuickBooks item “Collectible Coins,” which will ensure that it’s taxed appropriately by AST.

Option to Disable Automated Sales Tax in Acctivate

By default, Automated Sales Tax is enabled in Acctivate if it is enabled in QuickBooks Online. For business who aren’t ready to turn it on, we now have an option to disable Automated Sales Tax in Acctivate until you’re ready.

Learn more about sales tax configuration with QuickBooks