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Business description

Taxamo, the global digital VAT/GST compliance expert, is at the forefront of a revolution in international taxation.
Across the globe tax jurisdictions continue to amend consumption tax legislation — be it a Value-Added Tax (VAT) or Goods and Services Tax (GST) system — to account for the phenomenal growth of the digital economy. Taxamo exists to take on the risk of complying with these ever-evolving global rules.

Products and services

Taxamo’s software solution enables us to take on the liability for digital businesses’ international VAT/GST obligations in global markets. As a result businesses do not have to collect, register, file, and settle VAT/GST in multiple tax jurisdictions.
Taxamo delivers businesses up to 40% reduction in compliance costs when compared with in-house solutions.
For all their transactions with customers from impacted countries Taxamo forms part of the supply chain, issuing these customers with a fully compliant invoice from Taxamo.

Value proposition

To date, 40-plus tax jurisdictions have implemented rules that tax the cross-border supply of digital services. The expectation is for this number to exceed 100 jurisdictions by 2020.

For the affected digital service businesses, these legislative changes create wholesale headaches. First, comes the registration obligations. The business must register in the jurisdiction where they have consumers. Secondly, there is the need to file the relevant VAT/GST returns, with the added complexity of inconsistent filing return deadlines, e.g. EU requires quarterly returns while India seeks monthly returns. Finally, there are settlement headaches, where the business has to be wary of their exposure to foreign exchange risks.

Combined, these legislative changes make cross-border e-commerce complex and add additional costs for businesses in their attempts to become compliant.

With Taxamo, however, these headaches are consigned to memory as we take on the VAT/GST liability of digital service businesses with cross-border sales.

In doing so Taxamo takes care of the consumer location determination, correct VAT/GST calculation, collection, filing, and settlement of the VAT/GST due with the relevant tax authority.

Taxamo also validates Business-to-Business sales in compliance with specific tax authority requirements. As a result, the business can continue to concentrate on what they do best. This allows them to grow internationally with confidence safe in the knowledge that Taxamo is taking care of its global digital VAT/GST compliance.

Standards and certificates

  • Currently implementing the ISO 27001 due to be live in April 2018

Key partners

• Worldpay
• Stripe
• Paypal
• Braintree
• FEXCO