The AvaTax integration calculates sales tax as part of the pricing operation. When the shopping cart is priced with a request to include tax pricing, Oracle Commerce Cloud Service sends the information to Avalara, which calculates the total tax amount and sends it in a response. (Commerce Cloud calls Avalara each time the shopping cart is repriced.) The response breaks down the tax into individual components, for example, the total tax amount might include sales tax assessed by both the state and county. Commerce Cloud sends the information to Avalara in a sales-order call. Information from sales orders is not persisted in AvaTax and cannot be viewed in the AvaTax Admin console.

You can assign a tax code to each product in your catalog, as well as to each shipping method you create. For more information about tax codes in AvaTax, go to the Avalara Help Center at https://help.avalara.com/ and search for tax codes.

Important: As a merchant, it is your responsibility to add the appropriate nexus jurisdictions to your AvaTax company tax profile. (You configure your company profile in your Avalara AvaTax Admin console.) Nexus jurisdictions tell AvaTax where and when to calculate and report tax. All sales that occur in jurisdictions you have not configured in AvaTax result in a tax calculation that returns a value of zero tax. Oracle Commerce Cloud Service is not responsible for configuring or validating nexus jurisdictions. Visit the Avalara Help Center at https://help.avalara.com to learn about nexus jurisdictions.