The capabilities of a human being are known for being limitless, and yet there is nothing more significant about the same than our tendency to grow on a consistent basis. This progressive approach, on our part, has already got the world to hit upon some huge milestones, with technology appearing as a major member of the stated group. The reason why technology enjoys such an esteemed stature among people is, by and large, predicated upon its skill-set, which guided us towards a reality that nobody could have ever imagined otherwise. Nevertheless, if we look up close for a second, it will become clear how the whole runner was also very much inspired from the way we applied those skills across a real world environment. The latter component was, in fact, what gave the creation a spectrum-wide presence, and consequentially, kickstarted a full-blown tech revolution. Of course, this revolution then went on to scale up the human experience through some outright unique avenues, but even after achieving such a monumental feat, technology will somehow continue to produce the right goods. The same has grown increasingly evident in recent times, and assuming one new fintech-themed development shakes out just like we envision, it will only make that trend bigger and better moving forward.
Avalara Inc., a leading provider of cloud-based tax compliance automation for businesses of all sizes, has officially released the results of a new Forrester Total Economic Impact™ study, which analyzed the significant time and cost-savings conceivable through Avalara’s software tax automation and compliance solutions. According to certain reports, the stated study included an in-depth look at both quantifiable and more subjective benefits that organizations report after leveraging Avalara for sales tax calculations, tax returns, exemption certificate management (ECM), and more. Prior to entrusting Avalara, the businesses interviewed here were notably using manual tax management procedures, procedures that were unsurprisingly slow and more prone to errors. Not just that, such a manual methodology also brought to the fore a set of other problems like compliance risk, along with insufficient tracking and storage of tax documents. So, how did Avalara solve their problem? Well, going by the data put forth under Forrester’s study, the company started off with significant time savings across tax compliance requirements. You see, businesses that used Avalara were able to streamline the process of managing, preparing, and filing tax returns by an estimated 85%, saving in total a whopping 510 hours annually. They would save another 416 hours every year when managing exemption certificates, and 34 hours on preparation time per audit. The stated companies even had to spend 384 hours less on researching tax rates and laws throughout the year. Next up, beyond time, Avalara’s technology also makes a point to generate cost savings across tax compliance requirements. Here, we must get into how businesses have saved, on an average, more than $83,000 on tax return management over a span of three years. Furthermore, the same businesses also successfully reduced their expenses in the context of exemption certificate management by a sizeable $96,000. However, a much bigger cost cut came in the form of these companies saving $210,000 on audit preparation over the same three-year period. This was further complimented through annual savings worth $150,000, a sum that the businesses in question had historically spent on availing third-party expert services. Moving on, users of Avalara tax technology would also report a host of other augmented benefits, including decreased sales tax liabilities, reduced shipping errors, enhanced confidence in tax compliance, improved confidence among customers, and more.
“Avalara’s tax compliance platform provides meaningful ROI for businesses that rely on our solutions to eliminate manual tax and compliance processes,” said Liz Armbruester, EVP of Customer and Compliance Operations at Avalara. “These new independent study results showcase what tens of thousands of our customers already know with Avalara – that tax compliance automation can significantly decrease the time, cost, and other resource burdens of tax on businesses, while also improving their overall compliance and operational efficiency.”
Founded in 2004, Avalara has today a reached a point where it is helping more than 41,000+ business and government customers, stretched across 75 different countries, accelerate tax compliance, while simultaneously making the same a lot more accurate and reliable. To facilitate this objective, the company notably powers its solution through 1,200+ signed partner integrations across leading ecommerce, ERP, and other billing systems. Further contextualizing the scale on which Avalara improves tax-related procedures is a fact that, in 2022 alone, businesses made 39.6 billion API calls to Avalara AvaTax for the purpose of calculating taxes. In case you aren’t aware, Avalara AvaTax is a solution built for customers with high volume transactions, including ecommerce retailers and manufacturers. It can, at present, calculate a wide range of indirect tax types in real time, including sales and use tax, VAT, beverage alcohol tax, communications tax, and excise tax etc. Avalara’s excellence in what it does can also be understood once you take into account how it is has become, over the years, a trusted partner for the likes of Comcast, Converse, Adidas, Pinterest, WooCommerce, Duo Security, Zillow, and many more.
“Avalara significantly aids my company in streamlining the calculation, filing, and payment of sales taxes in an efficient manner. It simplifies the entire process by automatically calculating the estimated amounts owed and electronically filing our sales tax returns. AvaTax also helps us stay informed about sales tax rates and tax laws in various locations, enhancing our compliance with local regulations to a great extent,” said Emma McClellan, Senior Tax Accountant at EquipmentShare.
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