Tax plug-in and filing service for ecommerce website?

I’m trying to find a way to be tax compliant and offload tax filing administration without spending a fortune. I’m still trying to find a shopping cart vendor too and the requirements are straightforward except for the taxes.

The challenge is that in the US, we have locations in 25 or so states so we’d have to pay taxed in those states if I"m not misunderstanding the complicated tax laws.

Any ideas on how to make it hands-off?

I looked at Avalara’s services but the price is too steep for a start-up ecommerce site.


Aha … yes, that is a challenge.

Keeping up with the tax man is a
full time job. That’s why Quickbooks
is able to charge a hfty annual fee for
the latest payroll tax rates.

Yes, I’m seeing that with several e-commerce vendors. However, figuring out how to come up with the tax rates for every state and county and then file the tax forms for every jurisdiction is still the challenge.

I found another vendor that might work, SpeedTax, and several that seemed out of my budget or not meeting other requirements. The pricing for SpeedTax Core and Plus seems somewhat similar to Avalara’s OnDemand and AvaFile. Both would end up costing me in the $4k to $6k range or more (depending volume of transactions, features, etc.) for mostly hands-off tax calculations and filing. And then there’s the potential cost of integration with the shopping cart app.

Any decent shopping cart system will
allow you to set up sales tax collection
to accomodate the different rates by
country, state, zip code with the
appropriate overrides.