Automate tax with Avalara for Microsoft Dynamics 365 Business Central

Simplify tax compliance in Dynamics 365 Business Central with Avalara’s AI-powered automation.

Video: Automate tax in Microsoft Dynamics 365 Business Central with Avalara’s suite to centralize compliance

BENEFITS

Automate end-to-end compliance for Microsoft Dynamics 365 Business Central

Improve accuracy with intelligent rates

Avalara applies real-time, geolocation-based rates and tax rules powered by AI, helping reduce errors and costly miscalculations.

Drive efficiency across workflows

Integrate Avalara into Dynamics 365 Business Central to reduce manual tasks, improve team productivity, and streamline tax compliance end to end.

Monitor nexus with automated alerts

Track where you owe tax with Avalara’s economic nexus monitoring and receive alerts before you trigger registration thresholds.

Reduce audit risk with automation

Improve exemption certificate accuracy and maintain clean records to help reduce exposure and audit penalties over time.

Offload time-consuming return filing

Avalara automates returns preparation and remittance across jurisdictions — helping reduce workload, risk, and missed deadlines.

Scale confidently with adaptive AI

As your business grows, Avalara adapts compliance processes from registration to filing, keeping systems efficient and responsive as operations become more complex.

How it works

Seamlessly integrate Avalara into Microsoft Dynamics 365 Business Central to automate and accelerate your workflows

  • Microsoft BC Page

    Configuration and product mapping

    • Configure your connector setting to support your whole organization or select subsidiaries.
    • Map your products and services to Avalara tax codes to better determine taxability on each transaction.
  • Microsoft BC Page

    Address validation

    • Update and validate customer addresses using geolocation directly within Dynamics 365 Business Central to verify tax rates rather than relying on less accurate ZIP code rates.

  • Microsoft BC Page

    Sales and use tax calculation

    • Automatically calculate tax for each line item on a sales order and invoice, providing a detailed breakdown of the applied tax.
    • Identify undercollected and overcollected use tax to reduce liability and overpayments.
  • Microsoft BC Page

    Exemption management

    • Request, collect, validate, and archive customer exemption certificates directly within Dynamics 365 Business Central to help ensure that compliance documents are up to date, formatted correctly, and ready for audits.
  • Microsoft BC Page

    Global compliance

    • Automate calculation and reporting of VAT, GST, and customs duties and import taxes within Dynamics 365 Business Central to maintain compliance on international sales.

Products Microsoft Dynamics 365 Business Central integrates with

AvaTax is the global tax engine at the heart of our AI-powered compliance platform. It delivers highly accurate, real-time tax calculations for multiple tax types (U.S. sales and use tax, VAT, and industry-specific taxes) across city, county, state, federal, and international jurisdictions.

Avalara AvaTax for Accounts Payable automates consumer use tax compliance at scale. It uses real-time data and AI to determine product taxability, detect vendor sales tax errors, self-assess use tax, and allocate tax across jurisdictions — all from one centralized platform that integrates with most purchasing systems.

Gain access to a one-stop shop for end-to-end international trade compliance. Avalara Cross-Border offers a suite of purpose-built products designed to calculate and estimate customs duties and import taxes in real time; automate the assignment and management of HS, HTS, and schedule B codes; and help businesses navigate global trade restrictions. Avalara Item Classification offers HS code support for over 180 countries.

Avalara AvaTax for VAT delivers automated VAT calculation for global sales and purchasing transactions. The solution uses AI to assign country-specific rates in real time, helping businesses apply the correct VAT treatment, reduce errors, and prepare for cross-border expansion. AvaTax for VAT integrates with most business systems, supports 190+ countries, and enables compliance with complex VAT rules at scale.

Streamline exemption certificate management to increase efficiency, save time, and reduce risk. ECM automates the process of collecting, storing, and validating exemption certificates for businesses of any size. ECM managed over 51 million documents and certificates in 2024.

Simplify the process of complying with vastly complex e-invoicing requirements. Avalara E-Invoicing and Live Reporting provides global compliance and coverage through a single application.

Improve the way you manage Forms 1099, W-9, W-2, 1095, and others to simplify IRS e-filing, reduce the risk of IRS penalties, and streamline vendor information collection.

Offload the hassle of returns preparation, filing, remittance, and notice management (for U.S. sales and use tax or VAT). Our solution saves time, reduces costs, and ensures greater accuracy for businesses of any size in any industry. Avalara Returns processed and filed more than 6 million returns in 2024.

Avalara VAT Returns automates preparation, filing, and remittance of VAT in 49 countries. The solution validates and files data based on local rules; supports real-time reporting, OSS/IOSS, and SAF-T; and uses AI to improve accuracy and reduce compliance risk across global operations.

CUSTOMER STORIES

See what our customers have to say

“We only collected sales tax in Minnesota and were selling into so many states where we weren’t registered. Our liability was growing. Our CPA wasn’t prepared to handle it all.”

—Marie Griego
Accountant, EMSCO

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