Before the COVID-19 pandemic, the CAGR growth for the Tax Software business was 8%. This is expected to accelerate with increased Digital Transformation across the industry.
Taxation is complex, rapidly changing, and heavily dependent on macroeconomic changes. With the rapid increase in the usage of ERP and CRM systems, the need for tax and compliance software is growing rapidly. ERP systems have tax functionality, but they do not maintain real-time tax codes and rates. Moreover, compliance management is highly specific with respect to geographical jurisdiction, and industry type and needs to be continuously updated depending on economic and political changes. Hence, Tax software solutions are gaining relevance in this evolving landscape.
But in the long term, Tax software firms also need to start reinventing themselves for the future with the latest technological offerings for their customers as well as collaborating with regulatory authorities for seamless digital solutions for communications.
Significant business value will come from greater enterprise composability — enabled by a digital mosaic.
Read our whitepaper to know more about what the future holds, the challenges ahead, short-term and long-term solutions, and our innovative digital mosaic approach for a futuristic Tax Platform.