Elevate tax compliance for your purchases with streamlined automation and control
Improve accuracy
Intelligent analysis of product descriptions and images automatically classifies items into the right tax categories, reducing guesswork, saving time, and ensuring consistent taxability on purchases.
Increase efficiency
Streamline your processes to save time and free up resources for business-critical tasks.
Enhance compliance
Avalara’s AI engine regularly updates tax rules across 13,000+ sales and use tax jurisdictions, so your AP team can stay compliant without chasing updates.
Fine-tune your thresholds
Enhance thresholds and tolerances to help ensure your consumer use taxes are managed exactly the way you need.
Manage vendors
Identify trusted vendors to streamline the review process and pinpoint high-risk vendors for additional evaluation.
Simplify tax management
From onboarding to reporting, AI automates ERP file mapping and guides rule setup tailored to your needs.
AGENTIC TAX AND COMPLIANCE™
Let AI agents do the work
Imagine a digital compliance team that works 24/7, never fatigues, and always stays current with the latest rules for all jurisdictions. That’s agentic compliance in action.
Imagine a digital compliance team that works 24/7, never fatigues, and always stays current with the latest rules for all jurisdictions. That’s agentic compliance in action.
How it works
AI-driven onboarding, validation, and reporting for smarter use tax compliance
Manage use tax compliance and maintain control Set limits for undercharged and overcharged scenarios, giving you peace of mind that every transaction aligns with your expectations.
Catch vendor sales tax errors and avoid liability Identify overpaid and underpaid tax on your purchases and apply the correct tax based on jurisdiction, taxability, and special rules.
Reconcile transactions and automate use tax compliance Apply use tax owed on your returns automatically and avoid penalties and interest for underpayments. Identify and resolve overpayments of sales tax from vendor purchases.
Get support for Canadian Provincial Sales Tax (PST) Automate the accrual of PST on purchases in Quebec, Manitoba, British Columbia, and Saskatchewan.
AI-guided onboarding Auto-map transaction files from your ERP and purchasing systems, recommend initial rules, and accelerate time-to-value with AI doing the heavy lifting.
Video: Tailor AvaTax for Accounts Payable to your specific business needs.
Features
Automate complex financial tax processes with AI-powered intelligence
Consolidate compliance for procure-to-pay processes in one location
Centralize tax compliance in the Avalara Portal to manage sales, purchases, and returns.
Leverage Avalara Vendor Exemption Management to provide certificates directly to vendors.
Calculate use tax on returns with reporting and annotations on overpayments for credit tracking and refunds.
Streamline reporting for reconciliation and audit support with your general ledger.
Unify configurations with AI-driven rules and compliance content
Allocate consumer use tax automatically with advanced rules that can be created, tested, and visualized through a generative AI interface.
Avi, Avalara’s AI assistant, guides setup and answers questions in plain language.
Regularly updated tax content across 13,000+ sales and use tax jurisdictions keeps your system up to date without manual effort.
AI rules adapt to thresholds and purchase risk profiles, simplifying complex decision-making.
Integrate with your business applications
Connect to the ERP and procurement systems you’re already using through prebuilt integrations, API, or our AvaTax MCP server.
Leverage AvaTax MCP servers to connect with modern AI ecosystems, turning plain-language requests into tax-ready actions across platforms.
Gain better control by setting different thresholds on your batch uploads or integrated system — with AI helping fine-tune rules and reduce false positives.
Simplify batch uploads with customizable transaction templates, enhanced by AI that auto-maps fields and learns from prior inputs to cut setup time.
INTEGRATIONS
Avalara AvaTax works with many of the business systems you already use
Our solution provides centralized configurations within AvaTax, integrates with the most commonly used systems, and uses real-time and batch transactions for use tax calculation and reporting.
Sales tax is assessed at the time of purchase and remitted to the government by the seller. Consumer use tax is self-assessed after the point of purchase, based on a variety of factors, and remitted to the government by the buyer.
Generally, consumer use tax obligations are incurred on purchases when the vendor undercharges or does not charge sales tax. Use tax can also affect previously purchased products, depending on how or where they’re used.
Self-assessment is a manual, resource-intensive process. Use tax rules and rates are also complex and subject to change.
