Tax Automation Software for your online store - Vertex Inc.

Sales Tax & VAT Software for E-Commerce Retailers

E-Commerce & Tax: The Importance of Understanding Today’s Online Landscape

E-Commerce has changed the global market. The boom in online shopping provides exciting growth opportunities for companies globally.

When trading cross-border, there is a level of complexity that some companies may not be aware of. Now more than ever, it is key that businesses pay the correct sales tax and VAT while staying ahead of new tax regulations and policies, in particular legislation changes resulting from Brexit, Wayfair and the EU E-Commerce VAT package. 

When it comes to e-commerce, tax rules and rates require an end-to-end tax solution that integrates with your transactional systems.

Tax Automation Solutions & technology for e-commerce

Why Automate Tax for E-Commerce?

Discover how Vertex delivers sales tax software for online retailers to help businesses cut through tax complexity. 

Save Time & Money Calculating Taxes & Generating Returns

By automating tax calculations and reporting, e-commerce businesses eliminate the time, resources, and effort of manually researching, calculating, and filing taxes and keeping e-commerce systems updated.

Improve Compliance & Manage Audits

Keep tax rates and rules updated, improving tax calculation accuracy on even the most complex transactions. Vertex e-commerce sales tax software applies the correct rates and product codes for each jurisdiction and then validates tax for each ship-to address.

Business Scalability

Help grow your business globally by alleviating the burden of manually researching and calculating tax, allowing you to focus on growth.

“Our goal was to create a scalable business platform to accommodate business growth and change where tax was an integrated component for any transaction or process — not an afterthought.”

Sheryl Bennett-Holland Systems Analyst Lead, Starbucks

Solution Benefits

The fluxing and evolving e-commerce landscape, with many diverse influencing factors, creates a number of key challenges for customers.

Reduce Global Tax Complexity

As a company expands into new markets and introduces new products, it must be able to calculate the relevant sales tax/VAT that applies. Agility is key here: it's critical to manoeuvre quickly and address the local tax context with ease and so focus on squeezing out the competition.

Vertex tax solutions enable e-commerce businesses to tackle time-consuming challenges associated with global tax, helping them to turn challenges into opportunities and unlock growth potential. 

Keep Up with Legislation

Now more than ever, businesses complying with VAT systems are required to impose destination tax rates for sales to consumers in foreign countries.

This year, The European Union is introducing a VAT E-Commerce Package that will require e-commerce goods vendors to charge the VAT of the consumer’s country and permit the vendor to account for that VAT in the EU country where they are established.

Connecting a Vertex tax determination engine to e-commerce platforms enables retailers to improve VAT accuracy, centralise visibility, and keep up with the major VAT regulations coming in 2021.

Improve Compliance Where You Do Business

Relying on manual tax research is difficult and often leads to calculation errors, which can lead to customers being charged the incorrect tax rates and discrepancies in the amount filed back to the authorities. 

There’s also an audit risk. As the focus on tax for e-commerce grows, tax auditors are checking individual transactions more frequently. Inaccuracies in tax calculation and reporting can become a major risk factor when a company audit takes place, with the possibility of hefty fines for noncompliance.

With up-to-date tax content, taxes are calculated and reported with better accuracy. Businesses can improve compliance processes and reduce the risk of fines during the audit process.

Rely on Trusted Technology when Resources are Lacking

Managing tax for an e-commerce business requires resources dedicated to constant tax research and system updates for all jurisdictions where you do business today and where you plan to expand tomorrow.

In addition, point-of-sale (POS), e-commerce, and procurement systems do not come with an out-of-the-box, fully automated VAT process.

Do you have the time and skills? Focus on growing your business and leave the intricacies of complex calculations and rules to trusted tax technology used by merchants worldwide.

Get in Touch

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