Visp LMS

Subscriber Profile-Avalara

Introduction

The Avalara section in a subscriber profile is used to configure subscriber-specific tax settings for billing and tax compliance. These settings help determine how taxes, fees, exemptions, and special tax treatments are applied when invoices are generated.

For ISPs and communications providers, accurate Avalara configuration is especially important because tax rules can vary by:

When configured correctly, the Avalara section helps automate tax calculation, reduce billing errors, and support compliance with applicable local, state, and federal tax requirements.

Prerequisites

Before configuring Avalara settings for a subscriber, confirm the following:

1. Open the Subscriber Profile

Navigate to the subscriber’s profile in your billing or subscriber management system.

Locate the Avalara tab or section, usually displayed near other profile configuration areas such as Custom Fields.

This section contains subscriber-specific tax settings that are passed to Avalara during invoice or tax calculation processes.

2. Select the Avalara Sale Type

Use the Avalara Sale Type field to classify the nature of the transaction or service being sold.

Common examples may include:

For example, if the subscriber receives standard retail internet service, the value may be set to Retail.

The sale type is important because different transaction types can have different taxability rules. Selecting the correct value helps Avalara apply the proper tax treatment to the subscriber’s billed services.

3. Select the Avalara Customer Type

Use the Avalara Customer Type field to classify the subscriber from a tax perspective.

Common customer types may include:

For example, a household subscriber would typically be classified as Residential.

This field is useful because tax rules often differ based on the customer category. A residential customer may be taxed differently than a commercial customer, government agency, school, nonprofit, or other exempt entity.

Accurately setting the customer type helps ensure Avalara calculates taxes and fees according to the correct customer classification.

4. Enter the Avalara PCode

The Avalara PCode identifies the product, service, or transaction type being billed.

In communications and ISP billing scenarios, PCodes are commonly used to tell Avalara what type of service is being provided, such as:

For example, a value such as 3164900 may represent a specific Avalara-recognized service or product category.

The PCode is one of the most important fields for accurate tax calculation. Avalara uses this code to determine how the service should be taxed across different jurisdictions.

Before entering or changing a PCode, verify that the value matches your organization’s Avalara configuration and the service being billed.

5. Indicate Whether the Subscriber Is a Lifeline Participant

Use the Lifeline Participant checkbox to indicate whether the subscriber participates in the federal Lifeline program.

The Lifeline program provides discounted telecommunications or broadband services to eligible low-income consumers.

When this checkbox is selected, the system can pass Lifeline-related information to Avalara so that applicable tax, fee, or regulatory treatment can be considered during tax calculation.

This setting should only be enabled when the subscriber’s Lifeline eligibility has been verified according to your organization’s procedures.

6. Set the Incorporated Address Indicator

Use the Incorporated Address checkbox to indicate whether the subscriber’s service address is located within an incorporated area, such as inside city limits.

This distinction may affect local tax and fee calculations because some taxes apply differently depending on whether an address is located in:

If this checkbox is selected, the system indicates that the subscriber’s address is within an incorporated area.

Because jurisdictional tax rules can be highly location-specific, this value should align with verified address or jurisdiction data.

7. Add Subscriber Tax Exemptions

Use the Exemptions section to configure tax exemptions that apply specifically to the subscriber.

This section is used when the subscriber has a documented exemption that is not fully represented by the customer type alone.

Examples may include:

To add an exemption:

  1. Click the plus icon next to the Exemptions section.
  2. Enter an Exemption Name.
    • Use a clear name such as Nonprofit Certificate, Resale Exemption, or Government Entity Exemption.
  3. Enter the applicable PCode or related exemption reference, if required by your configuration.
  4. Save or confirm the exemption entry.

The exemption entry may also include action icons for editing or deleting existing exemptions.

Only add exemptions when proper supporting documentation exists, such as an exemption certificate or approved customer record.

8. Review the Avalara Configuration

Before saving, review all Avalara fields for accuracy.

Confirm the following:

Incorrect Avalara settings can result in overbilling, underbilling, tax compliance issues, or inaccurate invoice totals.

9. Save the Subscriber Avalara Settings

After confirming the configuration, click Save to apply the Avalara settings to the subscriber profile.

If you do not want to keep your changes, click Cancel to discard any unsaved updates.

Once saved, the configured values may be used during future invoice generation, tax calculation, or billing-related processes that rely on Avalara.

Conclusion

The Avalara section of the subscriber profile controls key tax-related settings used for automated tax calculation and compliance. Fields such as Sale Type, Customer Type, PCode, Lifeline Participant, Incorporated Address, and Exemptions help determine how taxes and fees are applied to the subscriber’s services.

To maintain accurate billing and compliance, these fields should be configured carefully, reviewed regularly, and updated whenever the subscriber’s service type, address, customer status, or exemption eligibility changes.