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Avalara Managed Tax Classification has been introduced to enable businesses to classify products and services by tax categories. The newly marketed application will utilize artificial intelligence and machine learning to generate classifications for both state and local taxability determinations.

The classification product utilizes machine learning to provide up-to-date classifications. Avalara’s announcement says it “ helps mitigate over- and undercharging tax, while leaving room to apply special considerations, like SNAP and WIC eligibility.” The statement continues, “Our deep product content database assists AI and machine learning algorithms and search functions to easily identify and classify products.”


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