Avalara Launches AI-Based Automated Tariff Code Classification System

Avalara Launches AI-Based Automated Tariff Code Classification System

Avalara, Inc., a leading provider of tax compliance automation software, has announced the launch of its new Automated Tariff Code Classification system. This cutting-edge AI-based solution is designed to assist businesses in efficiently classifying product catalogs according to Harmonized System (HS) or Tariff Codes. By leveraging proprietary AI, machine learning, and natural language processing technologies, the system streamlines a traditionally complex and time-consuming process for supply chain and logistics providers, e-retailers, and global marketplaces.

Key Features of Automated Tariff Code Classification

The Automated Tariff Code Classification system offers several powerful features aimed at improving the efficiency and accuracy of customs and duty tax calculations, as well as international shipment compliance. These include:

• Advanced AI Technology: The system uses state-of-the-art AI and machine learning algorithms to analyze product descriptions, attributes, and other relevant information. It can automatically classify products based on the latest HS codes by scanning global customs organizations and country-specific tariff schedules.

• Comprehensive Global Database: Avalara has built a robust and constantly updated global database of HS codes and product descriptions. This ensures businesses always have access to the most up-to-date information for accurate classification.

• Continuous Learning Feedback Loop: The system's AI continuously improves, adding new products and validated HS codes to its database. This self-updating feature allows for constant enhancement in accuracy and reliability.

• Seamless Integration with Avalara Solutions: The new classification service integrates effortlessly with Avalara’s existing tax compliance solutions, providing businesses with a comprehensive, end-to-end tax automation platform.

Simplifying Complex Tax Compliance Processes

According to Craig Reed, General Manager of Cross Border at Avalara, "Classification for large product catalogs is a challenging and time-consuming process that often requires specific expertise. The launch of Automated Tariff Code Classification helps businesses simplify the management of the complex HS or Tariff Code Classification process, supporting efficient use of business resources and helping to protect business margins by replacing manual processes."

This AI-driven solution is part of Avalara's broader commitment to leveraging automation and AI to accelerate global tax compliance for its clients. Businesses using the system can expect to benefit from faster, more accurate classification processes and better compliance with international shipping requirements.

About Avalara

Avalara simplifies tax compliance for over 41,000 businesses and government entities in more than 75 countries. Their automation software solutions integrate with over 1,200 ecommerce, ERP, and billing systems, providing comprehensive solutions for tax calculations, document management, and tax return filing.

For companies looking to streamline their global tax compliance, Avalara's new Automated Tariff Code Classification system offers a cost-effective and efficient solution.