Can Odoo handle US sales tax?

Yes, through Avalara. Odoo calculates US sales tax with Avalara AvaTax, and Odoo 20 adds "Avalara Included", bought per invoice inside Odoo. Odoo does not maintain US tax rates itself.

How much does Avalara Included cost in Odoo?

Odoo's In-App Purchase store lists Avalara Included - North America at €0.44 per credit, with one credit used each time an invoice or credit note with an Avatax fiscal position is posted, and 10 free credits to start (as listed on 12 October 2026). It is aimed at businesses with fewer than 5,000 transactions a year and covers calculation only.

Does Odoo do 1099 reporting?

Odoo exports 1099 data for e-filing through a third-party service. The vendor payments are already in Odoo, so the export replaces compiling them by hand.

Can Odoo pay vendors by ACH?

Yes. Odoo generates NACHA files for ACH payments that you upload to your bank, and it can print checks in the three most common layouts.

Which US states does Odoo payroll support?

Odoo 19's payroll documentation lists twenty states plus Washington D.C. Odoo 20 adds Georgia, Iowa, Kansas, Kentucky, Michigan, Mississippi, Missouri, New Jersey, South Carolina, Tennessee and Utah, plus New York City and Yonkers local taxes. Check your states before planning payroll in Odoo; for unsupported states, Odoo can export payroll data to ADP.

What does Odoo 20 change for US companies?

The "Avalara Included" option with automatic tax parameters, a redesigned US Sales Tax Report with state summaries and exemptions, payroll support for 11 more states plus New York City and Yonkers, a qualified overtime deduction, and expanded default US leave types.

Do you also do the bookkeeping?

This page is about what Odoo does. If you want our accountants to run US bookkeeping and filings on Odoo, see our Odoo accounting services for the USA.

Does Avalara Included in Odoo file our sales tax returns?

No. Avalara Included covers sales tax calculation only. Filing and exemption certificates need Avalara Direct, which is also the route for businesses with more than 5,000 transactions a year. Odoo 20's redesigned US Sales Tax Report gives multi-jurisdiction detail, a summary per state and exemptions, so filing preparation starts from Odoo rather than a spreadsheet.

How long does it take to set up US compliance in Odoo?

For a company already on Odoo, enabling Avalara, 1099 export, ACH and check printing is configuration and testing; payroll depends on your states. We run sales tax, ACH and payroll in parallel with your current system for a period close, reconcile, and switch after a month-end close. Your CPA then reviews the first filings prepared from Odoo.

Can a non-US group run its US subsidiary on its existing Odoo database?

Yes. We add the US localization to your existing Odoo database for the US subsidiary: a GAAP chart of accounts, Avalara fiscal positions for sales tax, 1099 vendors, NACHA and check settings, bank feeds through Ponto or Basiq and, where your states are supported, payroll. The group keeps one database. See how we serve companies in the USA.

United States

Odoo for US Companies: Sales Tax, Payroll, 1099 and ACH

Can Odoo run a US company's books? Yes. Odoo's US localization covers a GAAP chart of accounts, sales tax through Avalara, 1099 export, ACH payments as NACHA files, check printing and US payroll. Odoo 20 adds an "Avalara Included" option priced per invoice, a redesigned US Sales Tax Report and payroll for 11 more states.

Last reviewed: October 12, 2026

What it is

Odoo's United States localization configures Odoo for US accounting: a chart of accounts that follows GAAP, sales tax calculated through Avalara, 1099 data export for e-filing through a third party, vendor payments exported as NACHA files for ACH, and printed checks in the three most common layouts. Bank feeds connect through Ponto and Basiq. Odoo's US payroll covers federal income, FICA and unemployment taxes for employees and employers, state payroll for the supported states, W-2 reporting and Forms 941 and 940, and can export to ADP.

Why it matters

US sales tax is the usual blocker for ERP projects: thousands of jurisdictions and economic-nexus rules in every state. Odoo does not build that tax engine itself; it connects to Avalara. Odoo 20 makes the small-business route simpler with "Avalara Included", bought per invoice inside Odoo, and a redesigned sales tax report with state summaries and exemptions. For payroll, check that your states are supported before you plan to run payroll in Odoo, since state coverage is growing release by release.

Features

What Odoo for US Companies: Sales Tax, Payroll, 1099 and ACH does, capability by capability.
Capability	What it does
Sales tax with Avalara	Odoo calculates US sales tax through Avalara AvaTax. Odoo 20 adds "Avalara Included": tax parameters set automatically and credits bought inside Odoo, listed at €0.44 per posted invoice or credit note, aimed at businesses under 5,000 transactions a year. It covers calculation only; filing and exemption certificates need Avalara Direct.
US Sales Tax Report (Odoo 20)	A redesigned report with multi-jurisdiction detail, a summary per state and exemptions, so filing preparation starts from Odoo rather than a spreadsheet.
1099 export	Export 1099 data from Odoo for e-filing through a third-party service, from the vendor payments already recorded.
ACH payments and checks	Pay vendors by ACH with NACHA files generated from Odoo, or print checks in the three most common check layouts.
US payroll	Federal income, FICA and unemployment taxes, W-2 and Forms 941 and 940, and export to ADP. Odoo 19 covers twenty states plus Washington D.C.; Odoo 20 adds Georgia, Iowa, Kansas, Kentucky, Michigan, Mississippi, Missouri, New Jersey, South Carolina, Tennessee and Utah, plus New York City and Yonkers local taxes.
GAAP chart of accounts and bank feeds	A GAAP-based chart of accounts out of the box, with bank synchronization through Ponto and Basiq.

How it works

US scoping call

We list your states of nexus, payroll states, payment methods and the reports your CPA needs, and check each against what Odoo supports today.
Choose the sales tax route

"Avalara Included" for lower volumes and calculation only, or Avalara Direct when you need filing, exemption certificates or more than 5,000 transactions a year.
Configure the US localization

Chart of accounts, fiscal positions for Avalara, 1099 vendors, NACHA and check settings, bank feeds and, where supported, payroll.
Parallel run

Run sales tax, ACH and payroll in parallel with your current system for a period close, and reconcile before switching.
Go live

Switch over after a month-end close, with your CPA reviewing the first filings prepared from Odoo.

Deployment timeline

For a US company already on Odoo, enabling Avalara, 1099, ACH and checks is configuration and testing. Payroll depends on your states. As part of a new implementation it is built in from the start. We confirm effort and a fixed price after the scoping call.

Best for

US companies on Odoo, or moving to Odoo from QuickBooks, NetSuite or Sage, that collect sales tax in several states, pay vendors by ACH or check, file 1099s, or want payroll in the same system; and non-US groups with a US subsidiary that need US compliance on their existing Odoo database.

Frequently asked questions

Can Odoo handle US sales tax?

Yes, through Avalara. Odoo calculates US sales tax with Avalara AvaTax, and Odoo 20 adds "Avalara Included", bought per invoice inside Odoo. Odoo does not maintain US tax rates itself.
How much does Avalara Included cost in Odoo?

Odoo's In-App Purchase store lists Avalara Included - North America at €0.44 per credit, with one credit used each time an invoice or credit note with an Avatax fiscal position is posted, and 10 free credits to start (as listed on 12 October 2026). It is aimed at businesses with fewer than 5,000 transactions a year and covers calculation only.
Does Odoo do 1099 reporting?

Odoo exports 1099 data for e-filing through a third-party service. The vendor payments are already in Odoo, so the export replaces compiling them by hand.
Can Odoo pay vendors by ACH?

Yes. Odoo generates NACHA files for ACH payments that you upload to your bank, and it can print checks in the three most common layouts.
Which US states does Odoo payroll support?

Odoo 19's payroll documentation lists twenty states plus Washington D.C. Odoo 20 adds Georgia, Iowa, Kansas, Kentucky, Michigan, Mississippi, Missouri, New Jersey, South Carolina, Tennessee and Utah, plus New York City and Yonkers local taxes. Check your states before planning payroll in Odoo; for unsupported states, Odoo can export payroll data to ADP.
What does Odoo 20 change for US companies?

The "Avalara Included" option with automatic tax parameters, a redesigned US Sales Tax Report with state summaries and exemptions, payroll support for 11 more states plus New York City and Yonkers, a qualified overtime deduction, and expanded default US leave types.
Do you also do the bookkeeping?

This page is about what Odoo does. If you want our accountants to run US bookkeeping and filings on Odoo, see our Odoo accounting services for the USA.
Does Avalara Included in Odoo file our sales tax returns?

No. Avalara Included covers sales tax calculation only. Filing and exemption certificates need Avalara Direct, which is also the route for businesses with more than 5,000 transactions a year. Odoo 20's redesigned US Sales Tax Report gives multi-jurisdiction detail, a summary per state and exemptions, so filing preparation starts from Odoo rather than a spreadsheet.
How long does it take to set up US compliance in Odoo?

For a company already on Odoo, enabling Avalara, 1099 export, ACH and check printing is configuration and testing; payroll depends on your states. We run sales tax, ACH and payroll in parallel with your current system for a period close, reconcile, and switch after a month-end close. Your CPA then reviews the first filings prepared from Odoo.
Can a non-US group run its US subsidiary on its existing Odoo database?

Yes. We add the US localization to your existing Odoo database for the US subsidiary: a GAAP chart of accounts, Avalara fiscal positions for sales tax, 1099 vendors, NACHA and check settings, bank feeds through Ponto or Basiq and, where your states are supported, payroll. The group keeps one database. See how we serve companies in the USA.