It's a shame that such a nice program as iTunes would need 3rd party utilities to perform routine operations, but from my experience, it does. If you own a mac, this is generally not a problem as there are a number of nice AppleScript utilities floating around to handle things.
Here's one little utility that I found that seems to work as advertised:
iTunes Library Updater
Now, I would like to find a FREE duplicate eliminator, then I'd be happy.
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