avalara at a glance

Making sales tax less taxing.

Avatax by AvalaraBlase Casillas, Director of Strategic AlliancesE-Mail: [email protected]: 248.345.1258

Copyright © 2007 Avalara, Inc. All Rights Reserved.

Avalara 2004 - 2009 at a glanceAvalara 2004 - 2009 at a glance

9 full time employees, 1 officeIn 2004 Avalara had 6 customers, no managed returns, One Product and integration into only two product linesWe said we would be 100% channel based companyWe said we would double or better our growth every yearWe said we would integrate into every major ERP used todayWe said that we would be OEM’s by most of the major accounting packages

135 full time employees, 5 full offices and multiple remote sales officesThe default tax engine for more than 85 OEM’s. In 2009 we have more than 8,500 paying customersWe have more than 25,000 people using our free tax ratesWe file more than 19,000 tax returns each month, representing 10 billion dollars annually.We are still a 100% channel based companyNot a single negative tax audit since 1999 when we started. Avalara has become the De Facto Standard for Sales tax compliance in the US with all major accounting packages.


Knowing When to Outsource

The activity isn't central to generating profits or competitive success. The job is a routine one that wastes valuable time and energy. The task is a need that's only temporary or that recurs in cycles. It's less expensive to have someone else do it than to do it in-house. The activity can be done cheaper in-house, but drains resources that could be better used elsewhere. The skill required is so specialized that it's impractical to have a regular employee do it. The activity isn't one that people enjoy doing.


Challenges of Sales Tax ComplianceSales Tax is a statutory requirement

» Audit PenaltyLoss

100% non-revenue generating activity

» Labor-intensive

» Inaccurate results

» Costs $1,000sComplexity

» Multi-step process – calculate, collect, report, remit

» Multiple jurisdictions

» Multiple changes to tax laws• Rate changes to existing jurisdictions• Jurisdictions that levy new taxes• Jurisdictions that eliminate taxes• Jurisdictions that expand geographic boundaries• Product and Entity/Use Taxability


The SolutionAvaTax for Dynamics AX• Minimal Set up & Integration Work• Automated Tax Calculation under 1 Second Response Time• 7 Step Calculation Method Yields Highest Accuracy on EVERY Transaction• Never Have to Set up, Research, or Maintain Tax Rates and Rules


Avatax - Sales Tax ComplianceTax return preparation» Tax detail by jurisdiction

Reconciliation» By invoice, invoice line, invoice line detail

» View transaction detail and status

» Adjust transaction detail and status

Reporting and Filing» Data exports in CSV, Excel, PDF.xml, TIFF, web

archive

» Details map to your state/local returns forms

Remittance» Outsourced returns processing

• Liability worksheet for single source of remittance• Display completed returns

» Single amount transferred through AvaTax for tax liability

» Avalara distributes returns and payment via• SER to state for SST• Electronic filing with payment• Printed return and payment


The jurisdictional boundaries that AvaTax The jurisdictional boundaries that AvaTax uses with its proprietary AvaLocate are so uses with its proprietary AvaLocate are so accurate that states such as Vermont buy accurate that states such as Vermont buy jurisdictional boundaries from Avalarajurisdictional boundaries from Avalara

The jurisdictional boundaries that AvaTax The jurisdictional boundaries that AvaTax uses with its proprietary AvaLocate are so uses with its proprietary AvaLocate are so accurate that states such as Vermont buy accurate that states such as Vermont buy jurisdictional boundaries from Avalarajurisdictional boundaries from Avalara

How accurate is AvaTax?


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Questions?Questions?

WWW.Freetaxrates.com or www.avalara.com

avalara at a glance

Documents

tax liability avalara

free tax rates

payment copyright

default tax engine

avalara blase casillas

single negative tax

tax laws rate changes

solution copyright