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Pre-Built Tooling

CategoryDetails
AuthenticationHTTP Basic Authentication (Username/Password)
Two-Way SyncYes
Events SupportedNo
RealtimeYes (API-based)
Supports Rate LimitingYes (429 status code handling)
Authentication Scopes SupportedN/A (credentials are username and password)

Objects Supported

Alloy Automation supports syncing the following objects from Avalara:
  • Transactions (Create, Commit, Void, List)
  • Companies

Set Up Guide

Trial Access

QuestionAnswer
Offers free trial?Yes. Avalara offers a free sandbox account for development and testing. Sign up at https://developer.avalara.com/get-started.
Requires requires paid sandboxNo paid sandbox required. The free sandbox is fully functional for testing tax calculations.
Requires partnership to obtain authentication?No. You can create a free developer account directly on the Avalara developer portal.

Authentication (HTTP Basic Authentication)

Avalara uses HTTP Basic Authentication with username and password credentials.

Create your Avalara account

  1. Sign up for a free sandbox account at Avalara Developer Portal (https://developer.avalara.com/get-started).
  2. Once registered, navigate to SettingsLicense and API Keys in your Avalara account.
  3. Click Generate License Key to create API credentials.
  4. Copy your Account Number (username) and License Key (password).
  5. Enter your Account Number and License Key into Alloy Automation.

Sandbox vs. Production

  • Sandbox: Use the sandbox environment (https://rest.avatax.com) for development and testing. Sandbox accounts are free and fully functional.
  • Production: Once ready, you can upgrade to a production account and update your API credentials to use the production environment.

API Documentation

For detailed API documentation, visit: https://developer.avalara.com/api-reference/avatax/rest/v2/

Use Cases

1) Real-time sales tax calculation

Calculate sales tax in real-time during checkout by sending transaction details to Avalara, ensuring accurate tax rates for every order based on product type, customer location, and applicable exemptions.

2) Automated tax transaction management

Automatically create, commit, and void tax transactions in Avalara as orders are placed, fulfilled, or canceled in your eCommerce or ERP system, maintaining accurate tax records without manual intervention.

3) Multi-jurisdiction tax compliance

Handle complex multi-state or international tax calculations effortlessly by leveraging Avalara’s tax engine, which supports thousands of jurisdictions and keeps up-to-date with changing tax rates and rules.

4) Tax exemption management

Apply customer tax exemptions automatically by passing exemption certificates and entity use codes to Avalara during transaction creation, ensuring compliant handling of tax-exempt sales.

5) Tax reporting and reconciliation

Sync completed transactions from Avalara into your accounting system or data warehouse for comprehensive tax reporting, audit trails, and reconciliation with actual sales data.

API Gotchas

  • ⚠️ Transaction commits are permanent: Once a transaction is committed, it cannot be modified. You can only void committed transactions. Always test transactions in “uncommitted” mode before committing.
  • ⚠️ Rate limiting: Avalara enforces rate limits and returns 429 status codes when exceeded. Implement exponential backoff and retry logic in your integration.
  • ⚠️ Address validation is critical: Accurate tax calculation depends on precise address information. Use proper address formatting and consider using Avalara’s address validation API before calculating taxes.
For questions or troubleshooting, contact support@runalloy.com.
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