Zamp, an end-to-end managed sales tax solution for online sellers of all sizes, is announcing its public launch. By leveraging a combination of technology and managed services with human sales tax professionals, businesses can completely outsource sales tax compliance from start to finish.
Zamp saves customers 90-95% of their time spent on sales tax compliance. Current customers include Obvi, Sanzo and Little Hunter.
Sales tax compliance for online sellers is a complex and constantly changing process. In 2020, state and local governments collected around $650 billion by sales tax (over double what was collected in 2000), making it about 1/3 of the average state tax revenue.
Every state, county and city has different tax jurisdictions whose laws businesses must comply with, creating more than 12,000 taxable districts. These taxable jurisdictions do not align with zip codes and every product category is taxed differently in each jurisdiction.
In 2019, there were more than 34,000 rate and taxability updates in the US and Canada and more than 115,000 US sales tax holiday rule updates.
Source: Adapted by Insightful Accountant from Zamp website (for informational and product promotional purposes only).
Since the South Dakota v. Wayfair Supreme Court decision, online sellers have been required to register for a sales tax permit, and collect and remit the appropriate sales tax to each jurisdiction. This requirement is based not only on physical nexus laws (defined by the physical presence of employees, warehouses, etc.), but also on economic nexus laws (defined by revenue and/or transaction thresholds) within the state.
Zamp’s full-service platform manages the complete sales tax life cycle, including nexus monitoring, product categorization, rooftop-level tax calculation, registration and filing. Its multi-channel solution enables all online sellers to calculate and aggregate their sales tax across multiple sales channels.
Source: Adapted from Zamp website by Insightful Accountant (for informational and product promotional purposes only.
Current software solutions can require businesses to spend up to 300-500 hours a year to stay compliant. Zamp gives this time back to users who want sales tax off their plate by delivering a managed solution that includes proactive monitoring and communication while ensuring their compliance is up-to-date.
They no longer need to rely on an outsourced CPA/accountant or designated in-house team. Zamp offers a simple pricing model that includes one price for everything and scales with your business, providing customers more transparency and price predictability.
Additionally, Zamp's sales tax experts conduct ongoing research on tax jurisdictions and their changes, such as sales tax rates, tax jurisdiction boundary changes, product taxability research, registration, filing requirements and process changes.
Businesses often struggle with finding a sales tax provider that offers human support, consistent communication, and a process for keeping them informed of these changes. Customers don’t need to pay for a software vendor and an accountant with Zamp.
“We built Zamp to make it easy and affordable for businesses to become sales tax compliant," says Rohit Bhadange, co-founder and CEO of Zamp. “We’re redefining what a partnership means in the sales tax compliance space and addressing gaps of the current available options in today’s market. Zamp's focus is on delivering white-glove customer experience, proactive monitoring to track important tax jurisdiction changes for our customers and offering this with one all-inclusive price. We’ve even eliminated transaction overage fees which are a common pain point for customers with today’s tax technology providers.”
The platform offers flexible integration options that can fit the unique needs of any business. Its platform is designed to work seamlessly with various e-commerce, ERP and marketplace platforms through out-of-the-box integrations.
Zamp also supports integrations built by external partners or platforms, while some companies prefer to use Zamp’s API to directly link their systems.
Jon Shulkin, co-President of Valor Equity Partners and Fund Manager for Valor Siren Ventures, believes there is a significant opportunity to improve the sales tax process for multichannel small- and medium-sized businesses. We’re thrilled to partner with Rohit and the Zamp team to create a new sales tax software, which we believe will help to solve many of the tax challenges we have experienced with our prior work in the retail space.”
Zamp’s team of former state auditors, research specialists, and sales tax experts deliver accurate, seamless compliance for businesses operating in the ever-changing 12,000-plus US-based tax jurisdictions.
About Zamp
Zamp automatically calculates and ensures tax compliance for online sellers of all sizes. By combining cutting-edge technology and a team of industry experts, Zamp offers a full-service solution that manages every aspect of sales tax compliance in the ever-changing tax landscape—from nexus tracking, product categorization, and rooftop-level tax calculation to registration, filing and remittance—for one all-inclusive price.
The platform seamlessly integrates with e-commerce, ERP and marketplace systems, allowing businesses to focus on growth while Zamp ensures tax compliance across all sales channels and product categories. With a team of former state auditors, research specialists and sales tax experts, Zamp delivers accurate, seamless compliance for businesses operating in the ever-changing 12,000-plus US-based tax jurisdictions.
Founded by Rohit Bhadange, Edward Lando and Clete Werts, Zamp has raised over $4M in funding from Valor Equity Partners, Soma Capital, Day One Ventures, and angels including Yahya Mokhtarzada (Truebill), Zac Bookman (OpenGov), Jon Oringer (Shutterstock) and Brad Garlinghouse (CEO Ripple).
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