Tax ValidationSales Tax Validation

ServiceChannel’s Automated End-to-End Sales Tax Compliance Solution

How Tax Validation Works

ServiceChannel’s Sales Tax Validation module, powered by Avalara’s AvaTax — a leader in transactional tax automation — provides the most complete, automated, end-to-end sales tax compliance solution. From invoice acceptance to use tax accrual and payment, Sales Tax Validation streamlines the cumbersome tax payment process across multi-location enterprises and reduces the risk of penalty in case of audit.

Sales Tax Validation integrates with ServiceChannel’s Service Automation contractor management and payment tools. Contractor submitted invoices — including tax — are validated in real time. If the amount of tax entered differs from the validated amount, the contractor is alerted with a detailed explanation of taxes by jurisdiction. The contractor can choose to accept and correct the tax charges, dispute, or cancel the invoice entry. Facilities managers only see invoices that have been successfully validated for sales or use tax compliance.

Benefits of Tax Validation:

  • Greater Accuracy: Leverage the most comprehensive and current jurisdictional assignment capabilities, sales tax research, and rates and boundary information
  • Increased Speed: Contractors apply sales tax calculations as invoices are submitted via a secure encrypted Internet connection; automatically validates sales tax and calculates use tax in under a second
  • Improved Regulatory Compliance: Enable contractors to easily manage nexus (the company’s degree of physical presence to determine in- or out-of-state jurisdiction), as well as product and service taxability rules
  • Minimize Errors: Verify tax rates by locality, materials versus labor, and use
  • Compatibility: Seamlessly integrate with ERP, POS, e-commerce, and third-party applications
  • Affordability: Contain costs through subscription pricing based on your Service Automation locations, instead of using a more complicated and more expensive sales tax solution

How It Helps

Streamlines Process

Calculates tax rates for each jurisdiction across multi-site enterprises

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Reduces Risk of Penalty

Lowers the potential of being non-compliant by ensuring taxes are correctly calculated

Alleviates Administrative Burden

Automatically provides real-time updates on tax rates and statues for all locations

Tax Validation Features

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Validate sales tax on every invoice — there’s no limit on the number of invoices or invoice amounts

Calculate and accrue use tax in real time

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Validate sales tax for state, county, trade, and issue

Differentiate sales tax for labor versus materials

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Alert contractors in real time when incorrect sales tax is calculated

Stay current on tax statutes and rates with automated updates