As the issue of Internet sales tax heats up in Congress, there has been much speculation about the costs that online and catalog retailers will face in integrating so-called “free” software under the Marketplace Fairness Act.
The notion that free software, from providers like Avalara and others, will keep costs low for businesses is untrue and ignores the significant costs of integrating and running “free” software.
The True Simplification of Taxation (TruST) coalition has released a study today that examines these software integration costs and provides a breakdown of other burdens that businesses will face in order to comply with MFA. For example, the most conservative research findings put these costs at $80,000 to $290,000 in setup and integration fees.
Read the full report here: Final_TruST COI Paper.