14 Configure Tax Processing

Commerce integrates with both Avalara AvaTax and Vertex O Series to automatically calculate sales tax in the shopping cart. Commerce uses the Avalara integration by default, but you can easily switch to the Vertex integration.

If you process taxes with a different tax processor, you can use webhooks to integrate with your tax processor so it calculates taxes in the shopping cart. You can also disable all tax processor integration if you use an OMS or other external service to handle tax processing.

Some shoppers may have tax exempt status for certain purchases. For example, individuals working for a charitable organization may be exempt from sales tax on items used in running the charity. To learn how to configure Commerce and your tax processor to handle tax exemptions, see Integrate with an external tax processor.

If you run multiple sites within a single instance of Commerce, these sites share the same tax processor settings, but each site can have its own ship-from address. See Run Multiple Stores from One Commerce Instance for more information about creating sites.

If you are using a loyalty program, you can configure tax processing to convert to and from loyalty points currency. For information on loyalty programs, refer to Work with Loyalty Programs.