Hospitality Technology

Otelier and Avalara Connect Platforms in Two-Way Hotel Tax Integration

Otelier and Avalara have launched a two-way integration linking hotel management data with automated lodging tax filing, cutting manual reconciliation for operators.

Otelier, Avalara Launch Two-Way Integration to Streamline Hotel Tax Compliance - Hospitality Net
Otelier, Avalara Launch Two-Way Integration to Streamline Hotel Tax Compliance - Hospitality Net — AI-generated

Hotel technology firm Otelier and tax compliance specialist Avalara have launched a two-way integration linking Otelier's hotel management platform with Avalara's lodging tax engine, the companies announced.

The connection targets one of the most persistent administrative costs in hotel operations: calculating, filing and remitting occupancy taxes across multiple jurisdictions. Under the integration, transaction data flows from Otelier's system into Avalara, and compliance status flows back, giving hotel operators a single record of where tax filings stand.

What does this change for hotel operators?

The integration replaces a workflow that has historically depended on manual data transfer between property management systems and tax filing tools — a process that consumes back-office labor and raises the risk of filing errors and late penalties. Operators previously had to reconcile room revenue figures against tax obligations in separate systems.

With the two-way link:

  • Room and folio data moves from Otelier into Avalara without re-entry.
  • Filing and remittance status returns to the Otelier platform, so finance teams can verify compliance without switching systems.
  • The audit trail lives in one place rather than spread across spreadsheets and vendor portals.

For multi-property operators, the compliance burden scales with jurisdiction count, not unit count alone. Each state, county and municipality can set its own lodging tax rates, filing deadlines and registration requirements — the fragmented regulatory structure that Avalara's platform exists to manage.

Who pays and how the systems connect

The integration applies to hotels running Otelier's platform alongside Avalara's tax compliance software. Deployment follows standard integration models for the two vendors: operators already subscribing to both systems connect them; those using only one side would need licenses for the other. The companies did not disclose pricing terms.

Avalara automates tax determination, filing and remittance across thousands of jurisdictions, replacing processes many hotels still run through manual calculation and paper or portal-based filings. Otelier positions the pairing as a way to cut the reconciliation labor that sits inside hotel finance departments.

The compliance pressure behind the deal

Occupancy tax enforcement has tightened as municipalities chase lodging revenue across hotels, short-term rentals and hybrid inventory. Misfiled or late remittances carry penalties and interest, and audit exposure grows with every new market an operator enters. Software vendors have responded by building direct links between the systems where revenue is recorded and the systems where tax is filed.

The Otelier–Avalara launch follows that pattern: shorten the distance between the transaction and the filing, and reduce the manual steps where errors enter.

Neither company stated a rollout timeline beyond general availability, and both framed the integration as live for current customers of the two platforms. Additional automation of state-by-state filing workflows is the likely next step as the vendors expand the partnership.

hotel-tax-complianceproperty-management-systemspms-integrationsoccupancy-taxback-office-automation

More from Elena Vasquez

Elena Vasquez

Show full bio

News editor covering people, launches and day-to-day practice in Restaurant and hotel operations at The Pass Brief.

277 articles

Pairings

« Previous articleNext article »