Integration Overview
This guide covers Tax Engine's integration with Abacus for EU VAT compliance and filing services.
What This Integration Provides
- Transaction Submission: Submit EU VAT transactions in real-time or bulk
- Automated Filing: Create and manage VAT returns across EU jurisdictions
- Compliance Monitoring: Track filing statuses and deadlines
- File Retrieval: Download submitted returns and receipts
Data Flow
Integration Architecture
1. Setup Phase (One-time)
- Create Account and Entity records
- Register for EU jurisdictions (DE, FR, IT, etc.)
- Configure Registration Filing Types (RFT) with periods
- Set up webhooks for status notifications
2. Transaction Processing
- Submit individual or bulk transactions
- Validate against EU VAT rules
- Associate with correct entity jurisdiction
- Track compliance status
3. Filing Management
- Create periodic filings (monthly/quarterly)
- Review draft return calculations
- Approve filings for submission
- Monitor submission status
4. Compliance Monitoring
- Receive webhook notifications
- Download filed returns and receipts
- Track payment obligations
- Generate compliance reports
Key Concepts
Entity Jurisdiction (EJ): Links your entity to a specific tax jurisdiction (e.g., Entity A - Germany). Used as the primary identifier for transaction submission.
Registration Filing Type (RFT): Defines filing requirements for a jurisdiction, including period, frequency, and deadlines.
Periods: Templates that define filing frequency (monthly/quarterly) and due dates for each jurisdiction.
Transaction Types: Categorize transactions for proper VAT treatment: Accepts Local Sales for integration purposes
Authentication & Security
- OAuth2 Client Credentials flow
- Token-based authentication for all API calls
- HMAC-SHA256 signed webhook payloads
- Separate sandbox and production environments
Next Steps
- Review Authentication setup
- Follow Entity Setup workflow
- Test with EU VAT Examples