# Set up vendors

Source: https://developer.avalara.com/avatax-for-ap/ukw0001126179744/

# Set up vendors

About this task

Learn how to create exempt and trusted vendors in your Avalara environment.

About this task

The steps below describe how to create 2 vendors: one that's exempt and one that's trusted.

Steps

1.  Sign in to your Avalara [Sandbox](https://sandbox.admin.avalara.com/cup/a/1100161769/c/8053080/landing) environment.
2.  Go to Settings > Consumer use settings > \> Set up vendors \> Manage.
3.  Select Add a vendor.
4.  On the Add a vendor page, specify the following fields:

    -   The vendor name

    -   The vendor code

    -   The primary business address for this vendor

    -   The address or location code to use when shipping from this location

    -   The address or location code to use when shipping to this location

    -   The cost center (that you just created)

    -   The item code (that you just created)

    -   The vendor status of, Purchases from this vendor are exempt from sales tax

5.  Select Save.
6.  Repeat these steps to create a second vendor. For this second vendor:

    -   Specify a vendor status of This vendor is trusted. Accept their tax calculations and don't calculate consumer use on their transactions.

    -   Don't specify a cost center or item code.

Result

Upon completion, both vendors will be available on the AvaTax Vendors page. When specifying these vendors in your transactions, AvaTax will return:

-   Trusted vendor transactions: `"apStatusCode": "NoAccrualTrustedVendor"`

-   Exempt vendor: `"apStatusCode": "NoAccrualExemptedVendor"`