Avalara, Inc. marked a new chapter in Agentic Tax and Compliance, accelerating the shift from AI-assisted workflows to AI-executed compliance at global scale. Avalara has redefined how compliance gets done by embedding AI agents directly into all aspects of the compliance lifecycle, including tasks like tax calculation, return preparation, and exemption certificate management. Over the past year, Avalara has rapidly advanced its product capabilities, including launch of ALFA (Avalara LLM Framework for Applications), a secure, scalable platform designed to simplify the development of Generative AI solutions, infusion of AI-powered capabilities across its product suite, expansion of Avi Everywhere, embedding AI into the tools customers use everyday, introduction of Model Context Protocol (MCP) servers for secure interoperability with third-party systems, deployment of a growing network of purpose-built AI agents across the compliance lifecycle, and acquisition of Versori to accelerate AI-native, enterprise-grade integrations at global scale.
Together, these innovations establish compliance as an AI-executed system, where agents complete end-to-end tasks within a human-approved, audit-ready environment. Agentic compliance represents a new model for applying AI to business-critical workflows. Rather than recommending actions or requiring constant intervention, AI agents execute compliance tasks end-to-end within a governed framework that includes human approvals at key points.
This shift enables compliance processes to run continuously in real time, reducing reliance on manual effort and periodic reviews. By embedding intelligence directly into core systems, organizations can lower operational burden, improve accuracy, and maintain compliance at scale in an increasingly complex regulatory environment. Avalara's AI capabilities are grounded in more than two decades of investment in compliance infrastructure, including tax content, regulatory coverage, and integrations.
This foundation enables AI to operate with the precision and reliability required for compliance. Avalara's platform supports millions of businesses worldwide, processes 54+ billion transactions annually, integrates with 1,400+ partners across ERP, ecommerce, and financial systems, and reflects more than 20 years of continuous compliance innovation. This combination of scale, data, and infrastructure allows Avalara to deliver AI-driven automation that businesses of every size can trust.
Avalara will continue to expand its agentic capabilities, with additional AI-driven features and platform enhancements planned throughout 2026. Avalara will showcase its latest innovations at upcoming industry and partner events, including Adobe Summit, Sage Future, SAP Sapphire, Epicor Insights, SaaStr Annual + AI Summit, and the Gartner Finance Symposium/Xpo.
