How to connect my Odoo store to TaxCloud

Description

This App connects Odoo with TaxCloud, enabling automatic computation of sales tax on invoices within the Odoo platform and replaces the the previously supported Odoo.

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 you are already using the Odoo app and want to benefit from those bug fixing and new features, you can transition to this App, see the instructions below. Please make sure you test this transition before you do it in production.

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

For previous versions of Odoo (<V17) you will need to first migrate to V17 and then transition to this new App. If you need any help with the migration, contact Sodexis at info@sodexis.com, we have a full team of business analysts and developers that can help you.

If you have any questions about sales taxes, please feel free to reach out to the TaxCloud team at service@taxcloud.net.

If you're interested in learning how TaxCloud can automate your Odoo sales tax collection, find more information at https://taxcloud.com/integrations/odoo/ .

Module Installation:

New Customers: Due to the complexity of this integration, we strongly recommend contacting our team to set you up with our integration partner & onboarding team for assistance (note: a fee applies).

Existing TaxCloud customers moving to Odoo:

We highly recommend working with our Certified Odoo Partner, Sodexis, to ensure a smooth integration. If you experience any issues while following the guides below, need assistance with the implementation, or have a unique use case, you can reach out to Sodexis at info@sodexis.com (fees vary depending on the scope of work).
Alternatively, you can contact TaxCloud support for an introduction to Sodexis. Please note that the TaxCloud support team are not experts in Odoo configuration and can only assist with the TaxCloud side of the integration.

Download all the TaxCloud Official Apps listed below from the Odoo Apps Store before proceeding with the installation process, even if you don’t use the related Odoo TaxCloud module. This ensures you get all the TaxCloud features and proper data transmission. If you are using “Deploy on Odoo.sh” in the Apps Store, deploy all the apps listed below.

For example, you might not have the Subscription module installed but the Sales module is installed, we still recommend downloading all the TaxCloud Official modules and then install the “Account TaxCloud” module. Based on your installed module list, this will install the “Account TaxCloud - Sale” modules. However, the subscription module will automatically install the needed “TaxCloud and subscription” module in the future. This ensures you do not miss any of the TaxCloud features.

If you are not using the Odoo App, you can install this App by clicking on the “Activate” button and then proceed with the configuration, see below.

If you are using the Odoo TaxCloud App, do not uninstall it before installing our App, you will lose all your data. Install our App by clicking on the “Activate” button. Our module will take care of the transition of configuration and data from the existing App and uninstall the Odoo TaxCloud App. Do not reinstall the Odoo Taxcloud App once you have switched to this new one.

Configuration

Go to Accounting - - > Configuration - - > Settings - - > TaxCloud.

API credentials from the TaxCloud site are entered into the fields under the TaxCloud section. These steps are required in order to integrate Odoo with TaxCloud.

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

Refresh button at the bottom of Default Category is used to import the TIC (Taxability Information Codes) product categories from TaxCloud.
The Default Category is applied when no TaxCloud Category is set on your products or product categories.

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 comprehensive resources including a tax rate threshold map, tax rate lookup tool, and state-specific sales tax guides: State Guides

Rounding Method

Go to Accounting - - > Configuration - - > Settings - - > Taxes.
Use the “Round Globally” as the Rounding method to round the tax values.

Set Taxcloud Categories on Product:

Go to Accounting - - > Configuration - - > Management - - > TaxCloud Categories.

If we set a TaxCloud Category on a product and another on its Product Category, Odoo only considers the TaxCloud Category found on the product itself.
If both the TaxCloud Category on a product and its Product Category is not set, the Odoo considers the Default Category set under Accounting Settings.
A TaxCloud Category set on a parent product category does not apply to its child product categories. For example, if we set TaxCloud Category on the All Product Category, it is not applied to the All/Sales Product Category.

Fiscal Position “Automatic Tax Mapping (TaxCloud)” is created which computes taxes and accounts for invoices with a country set as “United States”.

Use “TaxCloud API” and “Detect Automatically” booleans are enabled in order to compute the taxes from the TaxCloud and to automatically detect the taxes respectively.

Functionality

Go to Accounting - - > Customers - - > Invoices. Create a new Invoice.

Note: We cannot compute taxes before the Invoice is posted.

Confirm the Invoice to get it posted. We could see that the computed tax from the Taxcloud is applied in the Invoice as shown below.

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

Go to Transactions - - > Reports which shows the recent transactions in Odoo.

We could see that the Status of the Invoice in Taxcloud website will be “Captured” when the Invoice is posted in Odoo.

Taxes are computed based on the “Fiscal Position” configured initially which is added under the Other Info tab of the Invoice.

Canceling the Invoice:

We cannot cancel an Invoice sent to Taxcloud. We will get the below error message while trying to cancel it.

Credit Note:

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

Credits

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/odoo-taxcloud-integration>