Account TaxCloud

Account TaxCloud

Description

This module connects Odoo with TaxCloud, enabling the automatic computation of sales tax on invoices within the Odoo platform. It is compatible with multi-company environments.

This module is replacing the module that was previously supported by Odoo. See this link for an explanation. 

Odoo released the code to TaxCloud, and Sodexis is maintaining it. Bug fixing and new features will only be added to this module going forward.  If users are already using the Odoo module and want to benefit from those bug fixes and new features, they can transition to this module; see the instructions below. They must make sure to test this transition before doing it in production.

If they are not currently using the Odoo connector, they can install this module as any other module.

For previous versions of Odoo (<V17), they should migrate to V17 before transitioning to this new module. If they need any help with the migration, they can contact Sodexis at info@sodexis.com, and a full team of business analysts and developers will be available to help them.

If they have any questions about sales taxes, they can feel free to reach out to the TaxCloud team here. If they're interested in learning how TaxCloud can automate their Odoo sales tax collection, they can find more information at https://taxcloud.com/integrations/odoo/.

About TaxCloud

TaxCloud (https://taxcloud.com/) is a sales tax compliance solution with over 15 years of experience in tax technology. Trusted by more than 4,000 companies, TaxCloud streamlines the management of sales taxes from collection and calculation to filing. It supports e-commerce businesses in navigating complex U.S. tax regulations across all 50 states and over 13,000 jurisdictions. With TaxCloud, businesses can accurately calculate taxes, reduce the hassle of keeping up with changing tax laws, and ensure effortless compliance. Say goodbye to the stress and frustration of sales tax with TaxCloud.

Module Installation

• Users must download all the official TaxCloud modules listed below from the Odoo Apps Store before proceeding with the installation process, even if they don’t use the related Odoo TaxCloud modules. This ensures they get all the TaxCloud features and proper data transmission. If they use “Deploy on Odoo.sh” in the Apps Store, they must deploy all the modules listed below.
• Account TaxCloud - Sale
• Account Taxcloud - Sale (loyalty)
• Account Taxcloud - Sale (loyalty) - Delivery
• Account TaxCloud - Ecommerce
• TaxCloud and Subscriptions
• Amazon/TaxCloud Bridge

• For example, suppose users have not installed the Subscription app but have installed the Sales app. In that case, they are still recommended to download all the official TaxCloud modules before installing the “Account TaxCloud” module. The “Account TaxCloud - Sale” modules are installed based on the installed modules list. In the future, installing the Subscription app will automatically install the needed “TaxCloud and Subscription” module. This ensures they do not miss any of the TaxCloud features.

• Users did not use the Odoo TaxCloud Modules:
• If users are not currently using the Odoo module, they can install this module by simply clicking the “Activate” button and following the configuration steps below.

• Using Odoo TaxCloud Modules:
• Switching from the Odoo TaxCloud module to our connector in odoo V17
• If users are currently using the Odoo TaxCloud module, then they should not uninstall the current module before installing this module; otherwise, they will lose all of their data. This module will take care of the configuration & data transmission from the existing module and automatic uninstallation of the Odoo TaxCloud module once installed. It is not necessary to reinstall the Odoo TaxCloud module.
• Migrating from Odoo 17 to Odoo 18 or from Earlier Versions to Odoo 18
• Migrating from Odoo 17 to Odoo 18
• First, switch to the official connector in Odoo 17 to prevent data loss. Then, proceed with the migration to Odoo 18 using our connector.
• Migrating from earlier versions to Odoo 18
• First, migrate to Odoo V17 using our official connector. Then migrate to Odoo 18 to ensure all data is retained.
• Alternatively, the module can be installed directly in Odoo 18 as a fresh installation and configured from scratch.

For any technical queries or support, contact us at 📧taxcloud@sodexis.com or visit the website at 🌐sodexis.com/taxcloud. Free support for the installation to the first few customers will be provided.

Configuration

Navigate to the Accounting app and under the Configuration menu, select the Settings option. In the Settings view, locate the TaxCloud TC boolean and enable it.

Enter the API (Application Programming Interface) credentials derived from the TaxCloud site into the fields under the TaxCloud TC section. These steps are required to integrate Odoo with TaxCloud.

The credentials include the API ID, API Key, and Default Category.

1. The refresh button under the Default Category is used to import the TIC  (Taxability Information Codes) product categories from TaxCloud.
2. The Default Category is applied when no TaxCloud Category is set on both the products and product categories.
3. When the boolean “Skip Zero Invoice” is enabled, the invoice line with a “0” price is not sent to TaxCloud. Because, even if it is sent to TaxCloud, the computing tax is going to be zero.

To be Notified About Updates

The button “Get Notified about Updates” allows users to be notified about major updates and bug fixes.

Clicking the button opens the Compose Email wizard. From the wizard, users can compose and send a confirmation email to receive notifications from the team regarding major updates and bug fixes.

The “Default Tax Template” boolean is found under the Default Category field. When the “Default Tax Template” boolean is enabled, a new field, “Tax Template,” appears.

Once the Default Tax is set, any tax created through the API will use this template to generate new taxes. However, fields such as Tax Name, Amount, and Label on Invoices are left to override.

Discover more about keeping your business compliant with sales tax regulations.

• Explore TaxCloud Taxability Information Codes (TICs) for detailed product tax classifications: https://app.taxcloud.com/tic
• Access TaxCloud's comprehensive resources, including a tax rate threshold map, tax rate lookup tool, and state-specific sales tax guides: State Guides

Rounding Method

Navigate to the Accounting app and select Settings under the Configuration menu. In the Settings view, locate the Taxes section and under the Taxes, set the Rounding Method to Round Globally to round the tax values.

Setting TaxCloud Categories on Products

To view the list of TaxCloud Categories, ensure that the developer mode is activated. Navigate to the Accounting app and under the Configuration menu locate Management to select TaxCloud Categories.

If a TaxCloud Category is set on a product and another on its Product Category, Odoo only considers the TaxCloud Category found on the product itself.

If the TaxCloud Category is not set on a product, then Odoo considers the TaxCloud category set on its Product Category.

If the TaxCloud Category is not set on both the product and the Product Category, then Odoo considers the Default Category set in the Accounting Settings.

The TaxCloud Category set on a parent product category does not apply to its child product categories and vice versa. For example, if the TaxCloud Category is set to the “All” Product Category, then it is not applied to the “All/Sales” Product Category, and vice versa.

Set the TaxCloud category for the Shipping Products and Down Payment Products to get the right tax computation.

In the Accounting app, navigate to the Configuration menu to locate the Accounting section and select the Fiscal Positions option. Ensure the 'Use TaxCloud API' boolean is enabled.

To automatically set the Fiscal Position, enable the 'Detect Automatically' boolean in the Fiscal Position. When 'Detect Automatically' is enabled, the options such as VAT required, Country Group, Federal States, and Zip Range can be configured based on the requirements.

Here, set the “Country” field as "United States". If the delivery address in the sales order/invoice is the United States, then the Fiscal Position (Automatic Tax Mapping (TaxCloud)) will be applied automatically.

Functionality

Navigate to the Accounting app and select Invoices nested under the Customers menu. Create a new Invoice.

Under the Other Info tab, set “Automatic Tax Mapping (TaxCloud)” in the Fiscal position field. The taxes are computed based on the “Fiscal Position” which was configured initially.

Confirm the invoice to get it posted. It can be seen that the computed tax from TaxCloud is applied in the invoice, as shown below.

Note: The taxes cannot be computed before the invoice is posted.

TaxCloud uses the destination from the "Delivery Address" and the customer from the "Customer ID" on the invoice.

Log in to the TaxCloud website, locate the Transactions menu, and select the Reports option, which shows the recent transactions in Odoo.

The status of the invoice on the TaxCloud website is seen as “Captured” when the invoice is posted in Odoo.

Canceling the Invoice

It is not possible to cancel an invoice that was sent to TaxCloud. Canceling the invoice causes a pop-up error.

Credit Note

To reverse the invoice, create a credit note using the “Credit Note” button on the invoice. When a credit note is created for the posted invoice, TaxCloud updates the tax and the total as “0” on the original record with the status as “Returned” as shown below.

Frequently Asked Questions:

Does it support Multi-Website and Multi-Company?

• Yes, the module supports Multi-Website and Multi-Company configurations. API credentials in the settings are company-specific, and each website uses the credentials based on the company on it.

Can I Cancel or Reset to Draft an Invoice?

• This feature is on our future improvements list and will be implemented based on sponsorship.

On which address is the calculation of tax based?

• It is based on the Delivery Address with the correct Zip code, state, and country.

How do I manage the taxability of shipping charges?

• You need to set up the TaxCloud category on the shipping product.

Will an invoice line or sales order line with a zero amount be sent to TaxCloud?

• Yes, it is sent to TaxCloud. If you don’t want to send those, enable the boolean “Skip Zero Invoices” or “Skip Zero Orders” option in the Accounting Settings.

Does TaxCloud compute tax for Amazon orders?

• Yes. However, if you don’t want to compute tax for sales orders created from Amazon, enable the “Don’t Compute Tax for Amazon Orders” option in Accounting Settings.

How do you set up accounts for the taxes created via API?

• A default Tax can be set in the “Default Tax Template” field on the Settings. Once configured, any tax created through the API will use this template. However, fields such as Tax Name, Amount, and Label on Invoices are left to override.

Why does the “Update Taxes” button not show up in the sales order?

• If all the apps are installed properly, check whether the “Use TaxCloud API” boolean is enabled in the fiscal position set on the Sales Order.

How do I set the Fiscal Position automatically?

• Enable the “Detect Automatically” boolean in the Fiscal Position.

Why does the create button for Exemption not show up?

• Ensure the “Manage TaxCloud Exemption” user group is enabled for the relevant users.

Will TaxCloud still compute tax for the Exemption applied invoice/order line?

• Yes, for some specific TIC codes.

 Why is the tax not computed for all states?

• To enable tax collection for states, please make sure those states are enabled to collect the taxes in the TaxCloud account.

Do I need to configure the threshold manually?

• The threshold is available in the TaxCloud account; there is no configuration for it in Odoo. The threshold will be set automatically.

 

Does the creation of a sales order also generate a transition in the TaxCloud account, or can we limit it to only those related to the actual invoice?

• Yes, this transaction is necessary to maintain consistent tax between the invoice and SO.

Why do some of the transactions in TaxCloud show no cart ID? How can we check which order this transaction was created in?

• This was resolved. Please make sure you are using the latest version of the app.

How does the transition status get updated?

• The status will be updated as “lookup” for the quotation, “captured” for the invoice, and returned for a credit note. For the confirmed invoice, the transaction is authorized and then captured, so we don’t see the transaction in the authorized state.

What do I do if I have more questions?

• Email taxcloud@sodexis.com for any additional questions or issues.

What do I do if the instructions included in these FAQs do not work?

• Check to make sure you're using the most recent version of the TaxCloud connector. If necessary, update the module and try again.

Document Version: 1.0

Credits

Contributors

For additional information or inquiries regarding TaxCloud, feel free to reach out to us at

Sodexis <📧taxcloud@sodexis.com> or visit our website at <🌐sodexis.com/taxcloud>

This module is maintained by Sodexis.