Modern Tax Automation For Unified Retail: Teamwork + Avalara

By: Teamwork Commerce
Modern Tax Automation For Unified Retail

2019 was the year of sales tax economic nexus, with states rapidly adopting  new remote seller legislation to impose sales taxes on businesses without a physical presence in their state. Since the 2018 Supreme Court ruling “South Dakota vs. Wayfair,” more than 40 states have implemented economic nexus laws and many have also taken the step to require marketplace facilitators to collect and remit sales tax on behalf of third party sellers. This shift in legislation drove retailers to seek out flexible solutions that enable retail across channels with simplicity in a centralized and digestible format. With the consistent increase in globalization and retailers operating across borders, retailers need solutions and tools that can keep up with their expanding portfolio of needs. 

While this may seem like an issue central to eCommerce, it will also significantly impact retailers across other channels as well. With the transition into unified commerce, fulfilling orders across multiple channels is an essential aspect of successful retail operations. With tax liability increasing for multi-state sellers, the introduction of the Streamlined Sales Tax program across the country has reduced the obstacles that remote sellers face, creating a unified system that can be leveraged to help ensure compliance.   Take this free Sales Tax Risk Assessment to help determine where your sales have created a need to register to collect and remit sales tax due to economic nexus.

The Tax Barrier

Taxation has become increasingly more complex over the past few years. Market intelligence provider International Data Company (IDC) notes that technology providers are moving to provide solutions and leveraging the latest developments to simplify the tax process. AI is already being leveraged to automatically calculate taxation at the point of purchase across the U.S as well as easing the process for tax professionals to forecast and conduct risk analysis around tax issues.

 

Leveraging Data

Big data & analytics tools are also being used across the industry to provide professionals with insights and offer opportunities to optimize the tax decision process. IDC notes that big data and analytics will be a must have for tax software end users. Combining an existing tax software with deep dive analytics & a range of information around customer purchases.

 

Cloud Connectivity

The cloud will also be integral to tax trends in 2020, while tax compliance has been outpaced by other developments in cloud computing, IDC expects cloud tax software to be a critical part of business operations in the years to come. With current industry events, and the work of retailers to continue to pivot their business, brands need to be prepared for these changes by proactively investing in effective taxation solutions and utilizing a range of technologies at the point of purchase.

 

Modern Tax Automation for Unified Retail

Teamwork Commerce has partnered with Avalara, the leader in cloud-based compliance automation, to give you a sales tax solution that is robust and easy to configure.  With a pre-built integration to Avalara, you can leverage the work we’ve completed to automate burdensome (and often error-prone) sales tax management, including calculations, certificate management and returns filing.  And with over 700 integrations, you can have one tax solution across all of your retail channels and platforms.  Avalara is also one of a handful of providers certified in the Streamlined Sales Tax (SST) program, meaning you may be able to qualify for free services in up to 25 states!  Find out if you are eligible for the SST program or  to learn more about Avalara and how they can help your business manage the ever-changing sales tax landscape more efficiently.

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