Avalara Launches AvaTax Excise for Multi-Tax Industries

Avalara, Inc. has launched a new solution for the determination and calculation of tax for businesses in industries such as bulk fuel distribution, residential propane and heating oil distribution, vehicle and equipment rental, wholesale tobacco, and residential power.

In these kinds of businesses, obligations for excise (volumetric) and sales and use (ad valorem) tax types create significant complexity for managing tax compliance. AvaTax Excise fully automates the calculation of sales and use taxes, and excise taxes, fo these, and similar multi-tax business. Avalara is a provider of cloud-based software delivering compliance solutions for sales and use tax, excise, communications, VAT and other transactional taxes.

“Implico is able to transparently embed excise tax calculation and determination within the SAP pricing procedure. Now with excise and sales / use tax calculations residing on the same platform, we’re able to deliver a seamless integration to SAP, which means faster time to value for our clients,” said Mike Serratore, vice president and general manager of Implico, an Avalara solution partner.

AvaTax Excise integrates directly with back office pricing processes and provides the flexibility to handle complex excise tax rules without the need for costly and time-consuming custom coding. AvaTax Excise customers can easily automate the calculation of gross receipts taxes, where the sales tax is calculated on top of one or more excise taxes. For industries with residential sales, Avalara’s advanced geo-location technology ensures precise identification of local tax jurisdictions and rates. Companies in these tax-challenged industries that have a need for a highly customized traditional tax software deployment will be able to reduce both implementation and maintenance costs through Avalara’s solution.

“We’re excited to leverage our expertise in fuel tax compliance to help those in other industries facing similar challenges,” stated Matt Tormollen, executive vice president and general manager of Avalara’s Excise business unit. “We know that all tax managers are all looking for ways to simplify, eliminate costs, and reduce tax compliance risk.”

Watch a quick overview of the challenges facing industries that must calculate both excise and sales tax.