Sales Tax Compliance for
SaaS Businesses
Simplified Solutions for Your Growing SaaS Business.
What is SaaS Sales Tax and Why Does It Matter?
SaaS Sales Tax applies to software accessed online rather than installed, with no uniform U.S. rule—each state sets its own regulations, making compliance complex.
As your Software as a Service (SaaS) business expands, understanding SaaS tax by state and ensuring compliance is crucial. Yonda Tax offers SaaS tax software and services to manage your SaaS Sales Tax obligations efficiently.
Taxability
Whether or not SaaS is taxable in a particular state depends on how the state classifies it. Some states view it as a service, while others see it more like a tangible product (like software).
Tax Rates
Even if SaaS is taxable in a state, the tax rate can vary. Some states have a blanket sales tax rate, while others might have different rates depending on the type of service or good being purchased (e.g., reduced rate for business purchases).
The Burden of Collection
The sales tax responsibility typically falls on the seller (the SaaS company). However, there can be exceptions depending on the state and the specific situation.
Does Your State Charge Sales Tax On SaaS Products?
Your All-in-One SaaS
Sales Tax Solution
Learn how Yonda Tax simplifies Software as a service sales tax compliance.
Free Assessment of Sales Tax Exposure
Share US sales data and our system will tell you in minutes if you have sales tax exposure.
Assisting With Collecting Tax
You’ll need to collect tax on subscription revenue - we’ll explain how to do this in your commerce platform, billing system or ERP.
Sales Tax Registration
Based on your nexus obligations, Yonda will register your business directly with all states where you require a sale tax permit. You simply complete a simple questionnaire and we take care of the rest.
Automated Sales Tax Return Filing
Connect your system to ours to share transactional data every month – we’ll process and file the tax returns for you.
Ongoing Nexus Analysis
We will automatically analyse your transactions in the states where you are not yet registered for sales tax, and alert you if you are approaching or have crossed the economic nexus thresholds.
On-Demand Account Manager
Your dedicated account manager takes care of everything. With decades of sales tax expertise, Yonda provides full-service solutions, handling permits and tax office communication.
Why Choose Yonda Tax to Manage Your SaaS Business Sales Tax
Understand the Risks
Sales Tax is a complex subject, and it’s even harder when you sell a SaaS product. If you get it wrong, it can end up costing your business millions or even getting you shut down. Many automated solutions help you with sales tax on calculations and nothing else. Yonda is a team of tax experts with the technology to make your life simple and risk-free.
Specific Solution for Your Business
Every SaaS business is different. Your tech stack, customer type and billing process all impact your sales tax on SaaS management. Automated solutions are sold as “one size fits all”, but they will often be much more than your business needs – or not be able to deal with your specific circumstances. Yonda will tailor a custom solution that suits your SaaS business perfectly.
On-Demand SaaS Sales Tax Experts
You will have questions as new customers subscribe to your SaaS across the USA or internationally. Tax offices will have questions for you. What if you develop a new product or feature? What if you hire people or open an office somewhere new? It pays to have a specialised account manager who is clued up on your business and industry.
We Integrate with Your Tech Stack
Yonda plugs into your existing tech-stack and automatically calculates, files, and remits your Sales Tax, VAT & GST. Track your tax filings, download reports, and never miss a deadline all in one easy to use platform.
Speak to a SaaS Sales Tax expert Today
Schedule a call today
