Avalara, Inc. announced a new embedded integration with Clover, the all-in-one commerce solution from Fiserv, Inc., a global provider of payments and financial services technology. The new integration will deliver a fully automated sales tax compliance tool directly within the Clover platform, simplifying one of the most complex and time-consuming aspects of running a small business. Powered by DAVO by Avalara, the solution will embed sales tax automation natively into Clover's POS system.
Merchants can automatically set aside sales tax daily, track their obligations in real time, and have returns filed, and taxes remitted on their behalf, all within the system they already use to run their business. Merchants will also be able to automatically update sales tax rates within Clover using Avalara's trusted tax content, ensuring accuracy as rates and rules change while reducing manual effort and the risk of costly errors. A key differentiator of the integration is automated daily sales tax set-aside.
By separating tax funds from operating revenue, the solution eliminates the risk of mixing sales tax dollars with working capital and helps protect merchant cash flow. Funds are held securely in DAVO's holding account, and when taxes are due, DAVO files and remits on the merchant's behalf on time and in full, guaranteed. This new embedded tax offering will launch later this year, and Avalara and Clover will continue to collaborate in future phases to include additional compliance capabilities, such as business license guidance and filing services.
