Discover why 73% of organizations without a cloud tax engine are already planning to make the move to the cloud.
Managing indirect taxes across multiple business systems is a serious challenge. Sales and use tax, VAT, and GST each carry their own rules and most organizations rely on four or more separate systems to process them. That creates inconsistency, extra IT burden, and real compliance risk.
A Foundry MarketPulse survey of 216 technology decision-makers at companies averaging nearly $3 billion in annual revenue confirms that cloud-based tax engines make a measurable difference. Organizations using cloud-based third-party indirect tax solutions are roughly half as likely to report difficulty ensuring consistent tax treatment across the business: 23% versus 47% for all others.
Beyond consistency, cloud adopters also report fewer struggles with supporting growth into new markets, gaining visibility into tax processes, and reducing IT footprint. It's a broad improvement, not just a fix for one pain point.
Cloud solutions lower total cost of ownership in several practical ways. The provider handles software and hardware maintenance, customizations, and tech stack updates, eliminating technical debt. Built-in tax content from subject matter experts means you don't need to hire scarce specialists or expensive consultants. And replacing default tax rate overpayments with product-based rule assignment helps ensure accurate payments from the start.
Survey respondents rank increased efficiency and automation, access to new functionality, and ease of implementation as the top expected benefits, with cost savings close behind at 34%.
Security is a real concern when moving sensitive tax data to a third party. A hybrid cloud approach addresses this directly. It gives you the scalability and efficiency of the cloud while keeping meaningful control over sensitive data and processes. Decision-makers in the survey cite improved data security as the top advantage of a hybrid deployment.
Vertex O Series is a global indirect tax solution covering U.S. sales and use tax, VAT, and GST, drawing on more than a billion tax rates and rules. You can deploy it on-premises, in the cloud, or in a hybrid environment, whichever fits your digital transformation strategy.
The SaaS option handles automated updates, patches, and upgrades so your IT team stays focused on higher-value work. O Series Cloud runs on AWS or Microsoft Azure, offers transparent fixed pricing, and includes address cleansing and real-time tax analytics dashboards. For organizations with strict data residency or security requirements, O Series Edge nodes can operate offline and sync upon reconnection.
Flexible APIs support integration with homegrown systems, and prebuilt connectors cover popular ERP, e-commerce, and procurement platforms, delivering consistent tax treatment across your entire organization.
Cloud and hybrid cloud deployments are becoming the standard for indirect tax compliance. Organizations that have made the move report better consistency, easier growth into new markets, stronger analytics, and a lighter IT footprint. The survey data makes a compelling case for acting now rather than waiting.