From Complexity to Clarity: PickSmart’s Tax Compliance Transformation with Kintsugi

Headquartered in Shenzhen, China, Picksmart is a leading provider of intelligent hardware products and comprehensive system solutions, renowned for its innovation in research and development, seamless hardware-software integration, and expertise in leveraging resources across the entire industry chain.

Picksmart serves a wide range of industries, including consumer goods, retail, warehousing, and healthcare. With a deep understanding of the evolving retail landscape and digital transformation in the internet era, Picksmart places innovation and R&D at the heart of its operations. By delivering high-quality solutions and services, the company empowers its clients to build strong competitive advantages in an ever-changing market.

Picksmart understands the desire for unique, custom products that reflect the user's personality, passion, or profession. That’s why they collaborate with a network of highly skilled suppliers and production houses, carefully vetting them through an intensive selection process to ensure top-notch quality and reliability.

No matter where you are or what drives you, Picksmart is here to provide custom creations that help you express yourself authentically. Whether it’s for your profession, favorite hobby, sport, or any passion you can imagine. Their curated collections are designed to bring your vision to life.

Challenge: Managing tax exemptions across jurisdictions

Picksmart works tirelessly to source or produce the perfect product, negotiating the best deal for you in record time because their goal is to be your trusted partner for all things custom, not just today but for a lifetime.

However, as their global footprint expanded, so did the complexity of managing sales tax compliance across multiple jurisdictions.

Manufacturers face unique hurdles in tracking and managing sales tax exemptions and use tax compliance. PickSmart grappled with:

• Exemption management: Keeping track of tax exemptions for manufacturing equipment, replacement parts, and R&D supplies proved challenging as they expanded.
• Use tax for out-of-state purchases: Managing compliance for machinery and equipment purchased out of state added another layer of complexity.
• Tangible personal property: Navigating tax rules for items like computers and materials used in production required precise tracking to avoid non-compliance risks.

The risk of financial penalties for missed exemptions or incorrect filings underscored the need for a robust, automated solution. PickSmart needed a partner to manage their tax compliance needs accurately and efficiently.

Solution: Kintsugi’s automation tool simplifies compliance

Kintsugi revolutionized PickSmart’s tax compliance process by automating critical tasks and ensuring seamless accuracy.

Here are some of the things Picksmart loves about Kintsugi:

1. Automated exemption management: Kintsugi’s platform streamlined the tracking and application of sales tax exemptions for manufacturing equipment, R&D supplies, and quality control tools.
2. Real-time updates on tax regulations: The platform provided real-time compliance updates, enabling PickSmart to adapt quickly to evolving tax laws across jurisdictions.
3. Use tax automation for out-of-state purchases: By automating use tax calculations and filings, Kintsugi ensured compliance for out-of-state equipment purchases and tangible personal property.

Impact: How Kintsugi transformed PickSmart’s tax compliance experience

PickSmart experienced remarkable results after adopting Kintsugi:

• Reduced error: Kintsugi’s automation eliminated manual errors in tax calculations, reducing compliance risks and providing peace of mind.
• More free time: Automated processes replaced hours of manual work, freeing up resources for strategic initiatives and innovation.
• Cost savings: Accurate exemption tracking and use tax management helped PickSmart avoid thousands in potential penalties and non-compliance fees.
• Global compliance confidence: With Kintsugi’s real-time updates and robust tools, PickSmart maintained full compliance across multiple jurisdictions, enabling seamless market expansion.

As PickSmart expands its global footprint, Kintsugi continues to be a vital partner in their compliance strategy, providing the adaptability and automation needed to navigate new markets with ease. By eliminating the burden of manual tax management, Kintsugi empowers PickSmart to focus on growth and innovation.

With advanced tools, the platform streamlines exemption management for manufacturing equipment and R&D supplies ensures compliance with ever-changing tax laws through real-time updates and supports seamless scaling without compromising operational efficiency.

With Kintsugi as its compliance foundation, PickSmart is poised to lead the manufacturing industry into new markets while maintaining efficiency, accuracy, and confidence in its tax processes.

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. Top companies like Alchemy Marketing and Cabi use our app.  Sasha Novakovich of Alchemy Cloud just spent three minutes on the platform and understood their sales tax exposure.

We can do the same for you. Sign up or book a demo now.