Back to Blog
Product Updates Nov 5, 2025 4 min read

Introducing AI-Powered Transaction Categorization

We're excited to announce our new AI categorization feature that automatically sorts your transactions with 95% accuracy.

Introducing AI-Powered Transaction Categorization

We've rebuilt our categorization engine from the ground up using advanced LLMs.

How it works

Instead of simple keyword matching, TaxWatch now understands context. It knows that "Shell" is a gas station (Auto expense) but "Shell Tech" might be a client.

Results

In beta testing, users spent 80% less time manually recategorizing transactions. The system learns from your corrections, getting smarter every day.