# How Kintsugi Works

Canonical: https://trykintsugi.com/blog/how-kintsugi-works
Published: 2026-06-17

A practical breakdown of how Kintsugi monitors nexus, calculates tax, and automates filing.

If you run a growing business, sales tax compliance probably is not why you
started the company. But once you sell across state lines or cross a
threshold, it becomes a problem you cannot ignore. Kintsugi was built to
solve that problem.

## What is Kintsugi?

Kintsugi is a sales tax automation and compliance platform. It monitors where
your business has obligations, calculates the right tax for each transaction,
and handles registration, filing, and remittance across the jurisdictions
where you sell.

## The core problem

Sales tax compliance requires businesses to:

- Identify where they owe tax.
- Calculate the correct rate for every product and jurisdiction.
- Register with the right agencies.
- File and remit on time.

Kintsugi connects those steps so the process does not become a collection of
spreadsheets and state-portal logins.

## Connect and monitor

Sync billing, payment, HR, and ERP systems to Kintsugi. The platform tracks
transactions and alerts you when you approach or cross an economic nexus
threshold. HR and payroll data can also help identify physical nexus exposure,
such as hiring a remote employee in a new state.

## Register and collect

Once you know where you owe tax, Kintsugi helps you register and applies
[product-specific tax rules to transactions](/product/automate-sales-tax). That means you can collect the
right amount instead of guessing or applying one flat rate everywhere.

## File and remit

Kintsugi prepares returns, reconciles collections against what is owed, and
[handles filing and remittance on schedule](/product/sales-tax-filing-software). Your team gets a clear view of
filing status without logging in to dozens of jurisdiction portals.

## Where AI fits

Kintsugi uses AI for repetitive, high-volume work such as nexus monitoring,
product classification, address validation, and exposure tracking. Tax rate
determination remains rules-based and deterministic, with tax experts
reviewing critical outputs.

## Who Kintsugi is built for

Kintsugi supports ecommerce and DTC brands, B2B SaaS companies, and
accounting and CPA firms. No-code integrations support common ecommerce,
billing, and HR systems, while the platform scales as a business adds
channels and jurisdictions.

## Getting started

Kintsugi offers a free tax exposure assessment so you can see where you may
already have nexus before committing. From there, connect your existing
systems and work with the team to build a compliance workflow that fits your
business.