Stripe on Tuesday said it’s acquiring TaxJar, a provider of sales tax software for internet businesses. The terms of the deal were not disclosed.
Launched in 2013, TaxJar now has more than 23,000 customers, including major businesses like Microsoft and Coca-Cola. Nearly every US state now collects sales taxes from online merchants. Adding local online sales taxes into the mix, there are more than 11,000 different sales tax jurisdictions in the US alone, Stripe said.
“For internet businesses, accurately tracking, calculating, reporting, and filing taxes is a large and growing burden,” Stripe noted in its release. “Indeed, one of the top requests from Stripe’s users over the past five years has been for assistance in navigating sales tax.”
Stripe said it plans to make TaxJar a pillar of its “revenue platform,” which also includes Stripe Billing for subscription management, as well as Stripe Radar for fraud and risk management.