Untitled Document

Correct Invoicing: AvaTax-SAP-Integration

To properly calculate excise taxes in the Oil & Gas vertical is a complex task. Tax rates are affected by each process in using different products, blends, branded, unbranded, bio fuel blends, origins, destinations, gross/net volumes, effective dates and exemptions.

In North America you are facing different tax rates regulated from Federal Government, State Governments and Local Governments. These Jurisdictions change rates several times a year independent from each other.

Invoicing your customers is the most important way people communicate and interact with your organization. Correct invoicing is the lifeline of company and basis in building trusted relationships. "Get it right the first time!" should be your overall target.

AchtungInaccurate Invoicing
Result: Loss of Trust
High admin cost on both ends
- Time consuming manual corrections
- Credit / Rebill process
Re-Issuing invoice impacts direct your days sales outstanding
Erodes confidence in your company which may result in losing business
Incorrect tax accruals and payments result in audit liability, risk of fines and penalties and back taxes

OkCorrect Invoicing
Result: Trustful Relationship
Supports lower cost for both parties
Limits days outstanding to necessary timeframe
Leads to higher customer retention
Positive reputation in the market
Leads to additional sales growth
Accuracy in compliance reporting
Low Risk Audit Probability

To address these needs Implico has partnered with Avalara to build a connector from SAP ERP to their proven tax tool AvaTax Excise. AvaTax Excise enables relevant tax determination and calculation for the numerous processes found in the Oil and Gas Industry.

Implico's SAP AvaTax connector is integrated into SAP's standard sales and purchasing pricing functions. The package provides standard transports to be applied to your SAP system. It provides a fully functioning pricing procedure with all tax conditions and the connector logic. A separate configuration tree allows for specific custom requirements as well as to adjust mappings for the interface.

The graph shows a typical fuels document flow for purchase and sales with the access points to the external tax engine from our partner Avalara.

Copyright by Implico