Tax Mapping between Autotask and Xero

Setting up tax mappings so that your invoices in Xero have the correct taxes

Tip

If your organization is based in a single tax region, such as Australia, New Zealand, UK, South Africa etc. You don’t need to set this up. 
Please note this will override the default tax codes in Xero with any mapped account codes that are applicable.

Please Note:

By default My Accounting Toolbox doesn't do any tax calculations we pass the unit and quantity values to Xero and Xero does all tax calculations.

Enabling Tax mapping will override line-item tax codes with those mapped.

Once tax mapping is enabled, if you have a Autotask invoice sync'd to Xero that has a Autotask tax region that isn't mapped it will cause the invoice sync to fail for that invoice, this is by design to prevent invoices from being sync'd with incorrect tax information.

Tax region name warning:

Do not rename tax regions if you have outstanding invoices to sync

To match your taxes correctly we need the tax region name generated against the invoice to match the current tax region name.

For example if a historical invoice has a tax region name of apples and you change the tax region name to oranges the historical invoice will still present to us as apples and our software will be unable to find the tax details.

Changing tax region names after all invoices have successfully sync'd is ok subject to you not requiring to resync a historical invoice for any reason.

Enable Tax Mapping

My Accounting Toolbox > Configuration > Tax Mappings

To turn on Tax Mapping ensure the Enable Tax Mapping option is set

 

Tax Guard

Tax Guard is a protection system to prevent misconfiguration between Autotask and Xero, if you accidentally setup the wrong tax mappings. Tax Guard compares the tax amounts generated in Xero and Autotask if the tax amount is different by +/- .99 an error is written in the event logs and alert email will be sent if your account is configured to receive emails.

Tax Guard - sync option

By default tax guard will only write to the error logs, however we recommend you use the option to show a visible warning in your sync history where taxes didn't match, the sync will still complete but a note will be added in orange that the sync was "Complete with Warning"

Sync dashboard page

Sync logs

Linking Tax Codes

For each Autotask Tax Region match it to the correct corresponding Xero Tax region then select the Link Code button

Invoice rounding between Autotask and Xero different by a few cents?

Please click to read our KB article about rounding issues