8 Reasons to Move Sales Tax Calculations to the Cloud

CCH’S EASY-TO-USE SOFTWARE AS A SERVICE (SAAS) SOLUTION PERFORMS REAL-TIME, AUTOMATED SALES AND USE TAX CALCULATIONS AND AUTOMATIC RETURNS PREPARATION AND FILING

With all the variables involved in sales and use tax calculations and filing — and all the penalties for noncompliance — automation of any kind makes tax compliance easier. Another way to gain efficiency is to move the process from a premise-based software application to a cloud-based, Software as a Service (SaaS) solution. Kathy Drommerhausen, Product Marketing Manager at CCH, explains why:

1. CorpSystem® Sales Tax SaaS constantly updates the tax rates for state, county, city and special district sales taxes. When your shopping cart, accounting software or POS system transmits a transaction to the cloud, the resulting tax calculations are always based on the most current, accurate information.

2. CCH researches and updates the taxability rules for thousands of different product categories. CorpSystem Sales Tax SaaS users can easily map their product SKUs to the CCH product categories so that the correct taxes are applied. Applying the appropriate rates to multiple products simultaneously with a single click, rather than entering each individual SKU, saves time during system setup, at the point of sale and at the end of the month.

3. The software includes nexus management to establish where your company technically does business. This sophisticated capability, Drommerhausen notes, is usually found only in solutions at a much higher price point.

4. CorpSystem Sales Tax SaaS is designed to connect smoothly and easily with more backend systems than those available from competitors. Some include ERP solutions from Sage, Microsoft, NetSuite and Intuit.

5. Each month, CCH can consolidate all of the transaction information and prepare and submit returns and remittances to the appropriate authorities. Users who want to retain control of their monthly filings can use one of our two cloud solutions to prepare and generate the returns themselves.

6. CorpSystem Sales Tax SaaS protects you in the event of an audit by enabling you to identify the precise taxes applied to individual items. “States are bumping up their audits to recapture revenues,” Drommerhausen points out. “If you aren’t charging the right rates, you’re responsible for the difference, and the penalties can multiply fast. Having sales tax reporting with click-through detail back to the invoice line item level is vital for audit defense.”

7. Cloud-based means that there is a minimal cost to your IT department — in capital expenditures such as server hardware or the time-consuming installation and maintenance of on-site systems.

8. CCH has an expert support group available. Peers can help answer questions, share best practice stories, configure custom integrations and ensure the software operates as it should: seamlessly, invisibly and accurately.

Learn more about CorpSystem Sales Tax SaaS.

 

AUTHOR

Wolters Kluwer Tax and Accounting

Wolters Kluwer Tax and Accounting is a leading provider of software solutions and local expertise that helps tax, accounting, and audit professionals research and navigate complex regulations, comply with legislation, manage their businesses and advise clients with speed, accuracy and efficiency. Wolters Kluwer Tax and Accounting is part of Wolters Kluwer N.V. (AEX: WKL), a global leader in information services and solutions for professionals in the health, tax and accounting, risk and compliance, finance and legal sectors. We help our customers make critical decisions every day by providing expert solutions that combine deep domain knowledge with specialized technology and services. Wolters Kluwer reported 2016 annual revenues of €4.3 billion. The company, headquartered in Alphen aan den Rijn, the Netherlands, serves customers in over 180 countries, maintains operations in over 40 countries and employs 19,000 people worldwide. Wolters Kluwer shares are listed on Euronext Amsterdam (WKL) and are included in the AEX and Euronext 100 indices. Wolters Kluwer has a sponsored Level 1 American Depositary Receipt program. The ADRs are traded on the over-the-counter market in the U.S. (WTKWY).

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