Taxdoo Ends VAT Compliance Services in 2026—Why Kintsugi Is the Best Alternative

Taxdoo has announced it will discontinue all VAT and compliance services by April 30, 2026, shifting its product focus entirely to its new accounting platform.

Many ecommerce sellers relied on Taxdoo for one specific, critical task: automating VAT compliance. However, that might soon change, as Taxdoo is making a major transformation to its platform.

If you’ve been paying attention to their recent updates, you know that the Taxdoo you signed up for is changing. The company is pivoting away from being a dedicated compliance tool to becoming a broad "Financial Operating System" by 2026. While this sounds ambitious, it leaves many existing customers asking a difficult question: Is this tool still built for me, or am I paying for features I don’t need?

Here is what Taxdoo’s transformation means for your business and why it might be the perfect time to switch to a dedicated specialist like Kintsugi.

What Is Taxdoo? Overview of Taxdoo’s VAT and Accounting Solutions

Taxdoo is a Germany-based fintech company that built its reputation helping ecommerce sellers manage EU VAT obligations, including VAT registrations, reporting, and integrations with accounting systems.Historically, Taxdoo supported:

• VAT calculations and filings

• Cross-border ecommerce VAT compliance

• Integrations with marketplaces and ERP systems

• Accounting exports for tax advisors

More recently, Taxdoo has begun repositioning itself as an accounting-first platform, investing in AI-driven bookkeeping, real-time financial metrics, and automated accounting workflows for ecommerce businesses.This shift signals a meaningful change in how VAT services fit into Taxdoo’s long-term product roadmap.

Taxdoo’s Shift: From VAT Specialist to General Accounting

The most significant change facing customers is Taxdoo’s strategic move into the crowded financial accounting market. In their blog, Taxdoo announced that they will “completely discontinue our VAT services and the DATEV add-on” on April 30, 2026,  and focus “entirely on TAXDOO Accounting.” Effective after this date, VAT compliance services will no longer be offered through Taxdoo.

Since Taxdoo will no longer be a "VAT tool" by next year, customers who depend on the following services have to look for an alternative:

• Reliable VAT calculations

• Ongoing VAT filings

• Multi-country VAT compliance

• Regulatory monitoring and updates

For a small seller starting from scratch, an all-in-one tool might sound appealing, but if they do not offer the service you need in this instance, VAT compliance, then they no longer serve you. Taxdoo’s shift to accounting makes it useless for established businesses that already have a preferred accounting stack (like Xero, DATEV, or QuickBooks) or those who solely rely on its VAT services.

Why Ecommerce Sellers Are Searching for a Taxdoo Alternative Now

You do not have to wait for next year to secure your VAT compliance. Many Taxdoo customers have started searching for a potential replacement due to the introduction of new compliance rules across the EU and the increasing complexity of global sales tax.

Many sellers are realizing that sticking with a legacy provider during a massive product pivot is risky. If Taxdoo’s priority is now "Accounting," what will happen to their VAT compliance?

Here are the common reasons Taxdoo customers are now actively searching for an alternative.

• Needing a VAT-first solution, not an accounting add-on

• Expanding into new countries or sales channels

• Wanting clearer tax determination at checkout

• Reducing audit risk and filing errors

• Avoiding vendor uncertainty during product transitions

With the transition underway, many  Taxdoo customers are switching early to avoid the rush, and a clear consensus has emerged on what they demand from a Taxdoo alternative. They prioritize the following qualities.

• Speed: Real-time data syncing without the lag of legacy systems.

• Focus: A team obsessed with tax law, not general bookkeeping.

• Clarity: A dashboard that tells you what you owe and where, without the unnecessary data.

Why Kintsugi is the Best Taxdoo Replacement

If you are looking to replace Taxdoo, Kintsugi has emerged as the clear leader for modern, high-growth brands. Kintsugi is purpose-built for VAT and sales tax compliance.

While Taxdoo tries to broaden its scope, Kintsugi has doubled down on being the world’s best automated tax compliance engine. Here is why Kintsugi is the upgrade your business needs:

• VAT-First Architecture Design: Unlike platforms pivoting to general accounting, Kintsugi is built from the ground up specifically for tax compliance. You get a specialist system with tax logic at its core.

• Real-Time Tax Calculation at Checkout: Kintsugi calculates the precise tax rate instantly at the point of sale, preventing costly under-collection errors and ensuring you charge the correct amount every time.

• Automated VAT Reporting and Filings: Kintsugi replaces manual reviews with AI-driven filing, automatically preparing and submitting your VAT reports across all jurisdictions in real-time. For Taxdoo customers, this means you can trust a system that guarantees accuracy without relying on third-party handovers.

• AI-Powered Precision: Kintsugi uses advanced AI to monitor nexus thresholds and automatically classify products. It doesn't just "record" data; it actively interprets it to prevent compliance errors before they happen.

• Transparent, Flat-Rate Pricing: Unlike legacy platforms that hide behind complex tiered structures or "contact us" walls, Kintsugi offers transparent pricing. You pay for compliance, not for a bloated suite of accounting features you don't use.

• Global Reach, Local Expertise: Whether it’s EU VAT, US Sales Tax, or Canadian GST, Kintsugi handles it all on a single platform. It is designed for the modern seller who sells everywhere, not just in Europe.

• Seamless Integration: Kintsugi doesn't replace your accounting software; it integrates seamlessly with it. You keep your preferred financial stack, and Kintsugi handles tax compliance with surgical precision.

• Scales With Your Business: Built for high-growth merchants, Kintsugi handles massive transaction volumes without lag or data caps. Whether you are processing a thousand orders or a million, your compliance engine grows with you.

With Taxdoo officially exiting the VAT compliance space, staying put risks forcing you to migrate to a third-party provider you didn't choose. Switching to Kintsugi immediately secures your business with a dedicated, AI-driven platform that guarantees real-time accuracy and automated filings without the bloat of general accounting tools.

Take control before the deadline and upgrade to a partner that prioritizes your global compliance above all else. Book a demo now and see the power of Kintsugi!