SaaS Sales Tax: Kintsugi's Software Simplifies Compliance

Who is At One Click?

At One Click, a web service provider based in Saudi Arabia, delivers a range of digital solutions designed to support businesses globally. Offering services such as custom web development, e-commerce integrations, and marketplace facilitator models, they empower companies to build and optimize their digital presence. However, as they grew and expanded into the U.S. market, they encountered a multitude of sales tax requirements specific to SaaS providers that they were unequipped to handle. U.S. sales tax laws for SaaS vary significantly across states, making compliance a challenge that began to consume valuable time and resources.

Recognizing the need for a streamlined solution to manage the sales tax obligations tied to their subscription-based and digital products, At One Click began looking for a partner to simplify these processes. They required a solution that would not only handle diverse state tax laws but also ensure accurate reporting without disrupting operations. After evaluating a couple different options, they found Kintsugi, a sales tax automation platform known for its seamless integration with existing systems and dedicated support team. With Kintsugi, they found a solution that enabled them to stay focused on their growth and innovation goals.

U.S. Saas Sales Tax is Hard to Navigate

As At One Click expanded into the U.S. market, they had a growing need to comply with the complex web of sales tax regulations specific to SaaS products. Each state enforced their own rules on taxability, exemptions, and rates for digital goods, creating hurdles that demanded time and attention to navigate correctly. Since their services included subscription-based models and digital transactions, new compliance responsibilities emerged with every state where they reached sales thresholds. This left them facing the challenge of staying on top of changing tax requirements, an effort that increasingly took resources away from their business goals.

The concept of economic nexus further complicated their operations, as sales volume rather than physical presence now triggered tax obligations in many states. At One Click had to ensure compliance in each jurisdiction where they met these nexus thresholds, yet manually managing the specific filing requirements and documentation for each location was impractical. Given the risks of penalties and non-compliance, they urgently needed a solution that could handle these intricate tax rules, accurately assess which products were taxable, and automate much of the filing process. This challenge ultimately led them to seek a dedicated tax compliance partner to streamline these tasks effectively.

Kintsugi Solves Sales Tax for Saas Businesses

To address their growing compliance needs, At One Click turned to Kintsugi, a sales tax compliance platform specialized in simplifying SaaS sales tax requirements across different jurisdictions. Kintsugi’s automated tools enabled them to better handle state-specific regulations for digital products and subscription-based services without the manual labor previously required. The platform’s automated nexus tracking and filing processes, ensured accurate taxability assessments and seamless reporting (Kintsugi). By automating these time-consuming tasks, Kintsugi allowed them to focus on growth strategies, confident that their compliance obligations were expertly managed.

The integration process was straightforward, with Kintsugi’s support team providing expert guidance to guarantee the software adapted smoothly to their unique workflow. Kintsugi’s solution enabled them to easily generate and file invoices with precise tax rates across states, accurately accounting for exemptions and specific regulations (Kintsugi). This adaptability, coupled with Kintsugi’s transparent pricing and responsive customer service, made it an ideal partner for their growth strategy. With Kintsugi, At One Click now has the infrastructure to scale confidently in the U.S. market.

Why Saas Businesses Love Kintsugi

• Enhanced Efficiency and Resource Allocation: Since implementing Kintsugi, At One Click has significantly improved operational efficiency, with automation reducing their compliance workload by around 50% (Kintsugi). This has freed up resources to invest in growth initiatives, allowing them to focus on enhancing their digital service offerings.
• Streamlined Nexus and Exemption Management: Kintsugi’s automation handles crucial tasks like managing exemptions and monitoring nexus triggers, enabling At One Click to confidently meet tax obligations across U.S. states. This has simplified their processes, ensuring compliance without additional manual effort.

• Improved Workflow Integration: Kintsugi’s seamless integration with At One Click’s invoicing and transaction systems has streamlined workflows, helping them easily handle tax reporting. This connection has improved accuracy in sales tax calculations across jurisdictions, particularly for states with complex regulations like Illinois.
• Clear Taxability and Rate Guidance for Expansion: At One Click praised Kintsugi for its clear approach to taxability and state-specific rates, especially as they expand their services into more regions. Kintsugi’s reliable support means they no longer worry about growing beyond their compliance solution’s capacity, facilitating smooth growth across new markets.

The Future of Saas Sales Tax

Looking ahead, At One Click plans to expand their service offerings and customer base across the U.S. and into the broader international market. With Kintsugi as a trusted compliance partner, they can confidently enter these new territories, knowing that sales tax regulations—from nexus requirements to state-by-state exemptions—are reliably managed. As they integrate more features and serve a wider client network, Kintsugi’s automated system allows them to scale without adding complexity to their operations. This assurance has enabled them to make strategic growth decisions without the burden of navigating each state’s sales tax requirements.

Kintsugi’s scalable solution has become an essential part of At One Click’s tech stack, poised to support their evolution into a larger digital service provider. They value Kintsugi’s adaptability, as it allows them to seamlessly handle growing transaction volumes and meet each new jurisdiction’s demands. Looking forward, they envision leveraging Kintsugi’s continued updates and robust support, providing confidence that compliance won’t limit their growth. With Kintsugi, At One Click is prepared to become a key player in global digital solutions while maintaining a strong foundation in sales tax compliance.

About Kintsugi

Based in San Francisco and founded in 2022, Kintsugi is dedicated to taking the stress out of sales tax compliance. Our platform automates the entire process, delivering high performance, reliability, and flexibility as your business scales.

Kintsugi is secure, encrypted, GDPR-compliant, and SOC 2 Type II certified, adhering to the highest standards for security, availability, processing integrity, confidentiality, and privacy.

Learn more about Kintsugi’s platform and integrations here.