Adjusting Taxes on Existing Order
Tax adjustments on existing orders
Please note as a general practice, we typically provide refunds and adjust invoices if the applicable tax has not been remitted by us (which is due on the first day of each month for the preceding month). However, a clause (5.9) has been included in the Terms, stipulating that we bear no responsibility for refunding sales tax after the completion of a sale.
Procedures for tax adjustments:
1. Orders that have not yet been sent to production:
a. If the order has not yet gone into production, inform the client we will cancel the order and issue a complete refund.
b. Advise the client to place a new order once their account has been updated to reflect their tax-exempt status.
c. If art files have already been submitted, or proofs sent, rename the folders using the new order number.
2. Adjustments for orders in the same month:
a. If the order has already gone to production or has been shipped and the client requests a tax adjustment within the same month, notify the sales manager.
b. The sales manager will initiate the adjustment process through Avalara.
c. A refund will be issued for the tax amount to the client once the adjustment is completed.
3. Adjustments for orders in different months:
a. If the client requests a tax adjustment for an order placed in a different month than the adjustment request, inform them that it is not eligible for adjustment.
b. Advise the client to cancel the original order and re-purchase the items.
c. For example, if the client placed an order on April 30th and requested a tax exemption on May 1st, the adjustment cannot be made through Avalara.
d. If the original order has already been sent to production, instruct the client to place the new order before the original one can be canceled.
Note: It is important to communicate these procedures clearly to clients and ensure they follow the outlined steps. Clients who have paid taxes in error and do not intend follow these steps should have the option to request an adjustment when they finalize their annual tax returns.