Avalara adds Bitcoin as Currency to Sales Tax Solution
Avalara, a company specializing in sales tax automation solutions, is adding Bitcoin as a "currency" to its featured AvaTax compliance engine.
The company provides solutions automating what can be the cumbersome task of accurate compliance with sales tax rules for businesses. In doing so, the company hopes to save its clients time, money and protect them from "audit risk" arising out of imperfect compliance. All aspects of the end-to-end process are covered, including the remitting of state sales tax and the tracking/integration of exemption certificates, which pardon customers from sales tax under specific conditions.
According to the website, the said AvaTax solution delivers instantaneous tax decisions in over 10,000 jurisdictions in the U.S.
In adding Bitcoin Bitcoin While some may still be wondering what is Bitcoin, who created Bitcoin, or how does Bitcoin work, one thing is certain: Bitcoin has changed the world.No one can remain indifferent to this revolutionary, decentralized, digital asset nor to its blockchain technology.In fact, we’ve gone a long way ever since a Florida resident Laszlo Hanyecz made BTC’s first official commercial transaction with a real company by trading 10,000 Bitcoins for 2 pizzas at his local Papa John’s.One could now argue that While some may still be wondering what is Bitcoin, who created Bitcoin, or how does Bitcoin work, one thing is certain: Bitcoin has changed the world.No one can remain indifferent to this revolutionary, decentralized, digital asset nor to its blockchain technology.In fact, we’ve gone a long way ever since a Florida resident Laszlo Hanyecz made BTC’s first official commercial transaction with a real company by trading 10,000 Bitcoins for 2 pizzas at his local Papa John’s.One could now argue that , they are the first known solution of its kind to cater toward cryptocurrency. More and more businesses have been accepting Bitcoin as payment for services, both in e-commerce and in brick-and-mortar stores. Businesses whose operation entails a more complicated sales tax process may find relief with this solution. Perhaps those hesitant to accept Bitcoin until now due to tax implications may now be more willing.
Said Webb Stevens, Avalara’s Head of Product:
"Avalara has a history of researching and addressing sticky compliance issues right from the get-go....Whether it’s preparing merchants to quickly address the litany of sales tax holidays or helping businesses run entirely on bitcoin, Avalara works hard to ensure customers have real solutions, real fast. The ability to process sales tax for Bitcoin transactions is one of the final, necessary steps to support bitcoin-driven business models – and the latest example of our forward-thinking approach."
While the recent IRS ruling did not discuss sales tax, as it was in the U.K., it doesn't make a difference. Even bartering is subject to sales tax, which effectively covers bitcoins even when considered property.
With Bitcoin too, you can apparently remit Payments Payments One of the bases of mediums of exchange in the modern world, a payment constitutes the transfer of a legal currency or equivalent from one party in exchange for goods or services to another entity. The payments industry has become a fixture of modern commerce, though the players involved and means of exchange have dramatically shifted over time.In particular, a party making a payment is referred to as a payer, with the payee reflecting the individual or entity receiving the payment. Most commonl One of the bases of mediums of exchange in the modern world, a payment constitutes the transfer of a legal currency or equivalent from one party in exchange for goods or services to another entity. The payments industry has become a fixture of modern commerce, though the players involved and means of exchange have dramatically shifted over time.In particular, a party making a payment is referred to as a payer, with the payee reflecting the individual or entity receiving the payment. Most commonl to the government- even the bitcoins themselves, should the business decide not to do a conversion first (they are converted later though). In January, we reported on a similar service offered by Snapcard.
The following depicts Avalara's end-to-end process in handling the sales tax process:
Avalara, a company specializing in sales tax automation solutions, is adding Bitcoin as a "currency" to its featured AvaTax compliance engine.
The company provides solutions automating what can be the cumbersome task of accurate compliance with sales tax rules for businesses. In doing so, the company hopes to save its clients time, money and protect them from "audit risk" arising out of imperfect compliance. All aspects of the end-to-end process are covered, including the remitting of state sales tax and the tracking/integration of exemption certificates, which pardon customers from sales tax under specific conditions.
According to the website, the said AvaTax solution delivers instantaneous tax decisions in over 10,000 jurisdictions in the U.S.
In adding Bitcoin Bitcoin While some may still be wondering what is Bitcoin, who created Bitcoin, or how does Bitcoin work, one thing is certain: Bitcoin has changed the world.No one can remain indifferent to this revolutionary, decentralized, digital asset nor to its blockchain technology.In fact, we’ve gone a long way ever since a Florida resident Laszlo Hanyecz made BTC’s first official commercial transaction with a real company by trading 10,000 Bitcoins for 2 pizzas at his local Papa John’s.One could now argue that While some may still be wondering what is Bitcoin, who created Bitcoin, or how does Bitcoin work, one thing is certain: Bitcoin has changed the world.No one can remain indifferent to this revolutionary, decentralized, digital asset nor to its blockchain technology.In fact, we’ve gone a long way ever since a Florida resident Laszlo Hanyecz made BTC’s first official commercial transaction with a real company by trading 10,000 Bitcoins for 2 pizzas at his local Papa John’s.One could now argue that , they are the first known solution of its kind to cater toward cryptocurrency. More and more businesses have been accepting Bitcoin as payment for services, both in e-commerce and in brick-and-mortar stores. Businesses whose operation entails a more complicated sales tax process may find relief with this solution. Perhaps those hesitant to accept Bitcoin until now due to tax implications may now be more willing.
Said Webb Stevens, Avalara’s Head of Product:
"Avalara has a history of researching and addressing sticky compliance issues right from the get-go....Whether it’s preparing merchants to quickly address the litany of sales tax holidays or helping businesses run entirely on bitcoin, Avalara works hard to ensure customers have real solutions, real fast. The ability to process sales tax for Bitcoin transactions is one of the final, necessary steps to support bitcoin-driven business models – and the latest example of our forward-thinking approach."
While the recent IRS ruling did not discuss sales tax, as it was in the U.K., it doesn't make a difference. Even bartering is subject to sales tax, which effectively covers bitcoins even when considered property.
With Bitcoin too, you can apparently remit Payments Payments One of the bases of mediums of exchange in the modern world, a payment constitutes the transfer of a legal currency or equivalent from one party in exchange for goods or services to another entity. The payments industry has become a fixture of modern commerce, though the players involved and means of exchange have dramatically shifted over time.In particular, a party making a payment is referred to as a payer, with the payee reflecting the individual or entity receiving the payment. Most commonl One of the bases of mediums of exchange in the modern world, a payment constitutes the transfer of a legal currency or equivalent from one party in exchange for goods or services to another entity. The payments industry has become a fixture of modern commerce, though the players involved and means of exchange have dramatically shifted over time.In particular, a party making a payment is referred to as a payer, with the payee reflecting the individual or entity receiving the payment. Most commonl to the government- even the bitcoins themselves, should the business decide not to do a conversion first (they are converted later though). In January, we reported on a similar service offered by Snapcard.
The following depicts Avalara's end-to-end process in handling the sales tax process: