When you book an invoice or credit note in TRAEDE, it can be automatically synced to QuickBooks Online. This article covers how the sync works and how to choose the right tax mode for your business.
Invoice sync settings
Go to App Store → Quickbooks → Settings. Under the Invoices section you will find these settings:
| Setting | Description |
|---|---|
| Book invoices | Enable to automatically push invoices to QuickBooks when they are booked in TRAEDE. |
| Book credit notes | Enable to automatically push credit notes to QuickBooks when they are booked. |
| Only send US invoices to Quickbooks | When enabled, only invoices for US customers are synced. All other invoices are skipped. |
Tax modes
The Tax mode setting controls how tax is calculated on invoices synced to QuickBooks. There are two options:
| Option | How it works | Use when |
|---|---|---|
| Use Quickbooks built-in tax engine | Each invoice line is sent with a tax code from your TRAEDE accounting rules. QuickBooks applies its own tax engine to calculate the final tax amount. | You rely on QuickBooks for tax calculation, or you have Shopify US orders where Shopify already calculated the tax. |
| Use Avalara Tax | Invoice lines are sent as non-taxable. Avalara AvaTax (running inside QuickBooks) adds the tax. The final tax amount is read back into TRAEDE. | You use Avalara AvaTax for US sales tax on B2B orders created in TRAEDE. |
How tax flows from order to invoice
Regardless of which tax mode you use, the general flow is the same:
- Tax is determined on the order (either estimated by Avalara, passed through from Shopify, or left for QuickBooks to calculate).
- When an invoice is created from the order, the tax amounts are carried over.
- When the invoice is booked and synced to QuickBooks, QuickBooks provides the final tax amount.
- TRAEDE updates the invoice with the final tax from QuickBooks. Invoice emails are held until this is complete.
Tip: Tax amounts on orders may be estimates. The final tax on the invoice is always determined after syncing with QuickBooks.
Which tax mode should I use?
- US B2B orders created in TRAEDE and you have Avalara AvaTax → Use Avalara Tax. See [LINK: Avalara US sales tax].
- US B2C orders from Shopify where Shopify calculates sales tax → Use Quickbooks built-in tax engine with Pass through US VAT enabled in your Shopify settings. See [LINK: Shopify US sales tax pass-through].
- All other scenarios → Use Quickbooks built-in tax engine and configure tax codes in your accounting rules. See QuickBooks built-in tax engine.
Related articles
Avalara US sales tax — how Avalara estimates tax on B2B orders and QuickBooks provides the final amount
Shopify US sales tax pass-through — how Shopify-calculated tax is carried through to QuickBooks
QuickBooks built-in tax engine — how to configure tax codes for QuickBooks'own tax calculation