Qdos Xero Integration: How It Works and How It Compares

Qdos’ Xero integration is a deep, Australia-specific connection between the Qdos ERP platform and Xero accounting. It supports accurate handling of GST and Wine Equalisation Tax (WET), line-level transactions, payment synchronisation, and accountant-friendly workflows — addressing tax, reporting, and reconciliation needs that many generic integrations do not.

How the Qdos Xero Integration Works

Qdos integrates with Xero in a way that mirrors how Australian accountants expect transactions to appear in the general ledger.

• Key characteristics include:
• Wine Equalisation Tax (WET) calculated within Qdos and posted to Xero as a separate invoice and credit note line, mapped directly to a dedicated WET liability account
• No reliance on compound tax rates
• No need for manual WET reallocation or “true-up” journals
• Four-decimal precision on invoice and credit note line items, with explicit rounding alignment so Xero totals match Qdos totals
• Full line-level posting of:
  • Sales invoices
  • Credit notes
  • Purchase bills
• Payment synchronisation from Xero back into Qdos, including updates and deletions
• Accountant-friendly stock on hand workflows, where stock is reviewed in Qdos and period-end journals are created manually in Xero
• Use of Xero’s native tax rates, chart of accounts, and validation rules, ensuring compliance with Australian accounting standards
• This approach prioritises clarity, auditability, and reconciliation accuracy.

Qdos provides real-time automated synchronisation of sales invoices, purchase orders and bills, credit notes, and payments between Qdos and Xero. Where Qdos differs from some ERP systems is not in whether transactions are automated, but in how accounting outcomes are controlled. Transactional data is synchronised automatically, while judgement-based accounting treatments (such as period-end inventory valuation) are intentionally reviewed and posted in Xero by the client or their accountant. This design supports accuracy, auditability, and predictable financial outcomes, rather than maximising automation at the expense of accounting control.

Stock on Hand and Period-End Control

Rather than automatically posting inventory valuation journals into Xero, Qdos supports a review-based workflow:

• Qdos provides authoritative Stock on Hand reporting

• Clients or their accountants post period-end journals in Xero

This gives accountants control over timing, periods, and reporting decisions, and avoids automated postings into locked or partially reconciled periods.

Xero Tracking Categories in Qdos

Qdos will introduce Xero Tracking Categories at the invoice line level.

This will allow businesses to report revenue and costs by dimensions such as location, department, or sales channel, while keeping tax calculation and statutory reporting unchanged. Tracking categories are treated strictly as a reporting dimension, not an accounting workaround.

Comparing Qdos Xero Integration With Other ERPs

Other ERP and inventory management systems also integrate with Xero and support standard invoicing, inventory, and payment synchronisation.

In practice, these systems typically rely on Xero compound tax configurations or manual adjustments to handle Australian-specific taxes such as WET.

Qdos differs in its design focus:

• Explicit liability-based posting for WET
• Clear, line-level transaction structure
• Precision handling and rounding reconciliation
• Alignment with Australian BAS and accountant-led workflows

For Australian businesses — particularly in wine, liquor, and wholesale distribution — Qdos’ Xero integration is often chosen for tax correctness and accountant confidence, rather than the breadth of generic ERP features.

FAQs

What is the Qdos Xero integration?
The Qdos Xero integration connects Qdos ERP with Xero, sending line-level invoices, credit notes, and purchase bills and syncing payments back into Qdos.

Does Qdos handle Wine Equalisation Tax (WET) in Xero?
Yes — Qdos calculates WET and posts it as a separate line item in Xero.

Is tracking supported in the Qdos Xero integration?
Tracking Categories at the invoice line level will be introduced soon.

Get in touch with Us!

To learn more about Qdos’ integrations visit the Partners & Integrations page or call Qdos on 03 8644 4080.

About Qdos 

Qdos’ integrated software solutions help you manage your inventory and sell stock efficiently across all your sales channels.