Troubleshooting Sales Tax Payout Posting Issues with Avalara, Facebook/Instagram Orders, and QuickBooks
This article explains why payout posting issues occur in Webgility Desktop when both Facebook/Instagram and Avalara attempt to handle sales tax for the same transactions. It outlines how overlapping tax collection can create mismatches that prevent successful syncing with QuickBooks Desktop. The article also provides guidance on how to resolve the issue by adjusting settings with Avalara to avoid duplicate tax application.
Why This Happens
When Facebook or Instagram already collects and remits tax for a sale:
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They handle the tax directly — you don't need to collect or remit it again.
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But if Avalara is still configured to collect tax for those same regions or transactions, it tries to apply tax again during the posting process.
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This creates a mismatch in tax amounts.
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As a result, Webgility Desktop fails to post the payout to QuickBooks or posts it incorrectly.
What You Need To Do
To resolve this issue:
Contact Avalara Support and request them to:
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Exclude or exempt sales tax collection for orders where Facebook or Instagram already collects and remits sales tax.
This will prevent Avalara from trying to collect tax again, which avoids the conflict during payout posting and ensures your data syncs correctly with QuickBooks.
Note: This issue only affects orders where Facebook/Meta (Instagram/Facebook Shop) is collecting and remitting taxes and you're using Avalara for tax automation. Please make sure Avalara is set up accordingly to avoid conflicts.