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How Tax Works Between Releventful and Xero / QuickBooks

Written by Releventful Support

A Consistent, Reliable Tax Workflow

Releventful includes a built-in tax engine designed specifically for event-based businesses. All pricing, GST/VAT calculations, inclusive or exclusive logic, and invoice totals are calculated within Releventful first.

When invoices sync to Xero or QuickBooks, the accounting platform records the final, approved totals exactly as issued to your client.

This approach ensures:

  • Your proposals, contracts, BEOs, and invoices always align

  • Clients are billed precisely what was approved

  • There are no discrepancies between systems

  • You maintain one consistent source of truth for tax


Releventful as Your Tax Authority

All tax calculations originate in Releventful, including:

  • Line item tax logic

  • Inclusive and exclusive tax handling

  • Service charges and additional fees

  • Final invoice totals

By calculating tax once — and only once — Releventful ensures complete consistency across all client-facing documents.


How Invoices Sync to Xero & QuickBooks

Releventful calculates tax before the invoice is sent to your accounting platform.

For tax-exclusive pricing:

  • Releventful calculates the tax amount.

  • The calculated tax amount is synced separately with the invoice.

  • Releventful does not rely on Xero or QuickBooks to calculate the tax amount for the invoice.

  • The final invoice total reflects the amount already calculated in Releventful.

This helps keep the invoice total consistent between Releventful and your accounting platform.

QuickBooks

When an invoice is sent to QuickBooks, the tax amount calculated by Releventful is sent as its own invoice line.

You can control which QuickBooks Product/Service is used for several types of synced invoice lines under:

Settings → Business Brands→ Select your brand→ Scroll down to the QuickBooks section

Available mappings include:

  • Invoice Line Items Default

  • Service Charge Product/Service

  • Tax Product/Service

  • Alcohol Tax Product/Service, when applicable

Packages and Add-Ons can also have their own individual QuickBooks Product/Service mappings.

Because Releventful has already calculated the tax amount, your QuickBooks Product/Service configuration should be set up so that QuickBooks does not unintentionally calculate additional tax on the same invoice lines.

The important distinction is:

Releventful determines the tax amount. Your QuickBooks Product/Service configuration determines how QuickBooks categorizes and subsequently treats the synced line.

Xero

Releventful also calculates the tax amount before sending the invoice to Xero.

The invoice values sent to Xero are based on the finalized amounts calculated in Releventful rather than asking Xero to independently recalculate the invoice tax.

Your Xero account and tax configuration should therefore be set up so that Xero records the synced invoice amounts without introducing an additional tax calculation that would change the finalized totals.

For Xero-specific setup and account mapping, see the Xero Integration Setup article.


If Your Pricing Is GST/VAT Exclusive

For exclusive pricing:

  • Releventful calculates the tax total separately

  • That calculated tax amount is synced as its own line item

  • The final invoice total matches perfectly across both systems


If Your Pricing Is GST/VAT Inclusive

For inclusive pricing:

  • Releventful calculates and embeds the tax within line totals

  • The accounting system receives the final totals as issued

  • No additional adjustments are required


Best Practice for a Smooth Workflow

To maintain consistency between Releventful and your accounting platform:

  • Allow Releventful to manage all tax calculations

  • Let Xero or QuickBooks record the finalized invoice totals exactly as synced

This ensures that what your client sees, what Releventful records, and what your accounting system reflects all remain perfectly aligned.

⚠ Important

Because Releventful has already calculated the tax before the invoice is synced, your accounting platform should not apply an additional tax calculation that changes the finalized invoice amounts.

If additional tax is calculated in Xero or QuickBooks after syncing, the accounting total may no longer match:

  • The amount billed to your client

  • The invoice total in Releventful

  • Your proposal, contract, or BEO

  • The finalized amount originally sent to your accounting platform

For QuickBooks users, review the taxability and accounting configuration of the Product/Service items mapped to your Releventful invoice lines.

For Xero users, review the applicable Xero account and tax configuration used for synced invoice data.

This keeps Releventful as the source of truth for the tax calculation while allowing each accounting platform to record the invoice according to your accounting setup.


Why This Design Works So Well for Event Businesses

Event pricing often includes:

  • Packages

  • Add-ons

  • Guest-based pricing

  • Tiered tax handling

  • Inclusive and exclusive configurations

By centralizing tax calculation inside Releventful, your operational documents (proposals, contracts, BEOs) always stay aligned with your invoices — without relying on multiple systems to interpret tax rules differently.


In Summary

  • Releventful calculates all tax.

  • Your accounting platform records the finalized totals.

  • Invoice amounts remain consistent across systems.

  • Client-facing documents and accounting records stay aligned.

If you have questions about how this applies to your specific GST or VAT setup, our team is happy to walk through it with you.

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