Understanding TaxCloud's New Filing Costs

Starting July 29, 2024, we will be changing the pricing plans for our TaxCloud direct filing services.

The previous fixed fees of $30 per single state filing and $349 per month for Nationwide filing will no longer be available.

What's changing for existing customers

Nothing at this time. There will be future communications on timing, details, and options as changes are rolled out to existing customers in the future.

Filing costs & options for new customers

New customers to TaxCloud have the option to “pay as you go” for filings, where they are billed in the next invoice following the filing submission to the state/jurisdiction; or to sign up for a filing subscription plan that will provide savings on the cost per filing as the volume of filings increases, and discounts for annual subscriptions. 

  1. $39 fixed fee per filing that is billed in arrears (billed on invoice after the filings are submitted)
  2. Monthly or Annual filing subscription plans billed at the beginning of the invoice period with an allotment of included filings (more information below) 

We are transitioning to a subscription-based pricing model for TaxCloud direct filing services.

We will offer two subscription options:

  • Monthly and Annually.
  • Annual plans come with a 16% discount compared to the cost of monthly plans over a year.

Subscription options

  • Monthly Subscription
  • Annual Subscription

Subscription tiers

Both subscription options allow you to choose a specific number of returns based on your business needs.

We offer 6 tiers, each with a dedicated number of returns, ranging from 1 return to Nationwide coverage. You can select the tier that best fits your business requirements.

Note: Not all states are equal; filing in Colorado (CO) and Louisiana (LA) is more complex and requires significantly more attention on the TaxCloud side to ensure accuracy. These filing complexities have been around for a long time due to the following reasons:

  • Colorado is a home rule state, where more than 70 local governments (municipal or county) administer their own local taxes in addition to the state sales tax.
  • Louisiana, like Colorado, is unique in that sales and use taxes are levied and collected by multiple, independent taxing authorities. Louisiana lacks a single centralized sales tax collecting agency, with sales taxes being collected both at the state and local levels, on a parish-by-parish or even municipality-by-municipality basis. Depending on the local jurisdiction, responsibility for collecting local sales and use taxes may fall to local sheriffs, police juries, school boards, or specifically empowered sales tax departments of local government. Additionally, Louisiana is the only U.S. state under a civil law jurisdiction, which results in a myriad of "exemptions" and "exclusions" from taxation that often do not apply uniformly at the state and local levels.

There will be a surcharge of $60 for Colorado and $30 for Louisiana, charged in arrears each month after the returns are filed. This surcharge is above and beyond the subscription price. For example, a merchant on the monthly plan for 5 returns pays $169. TaxCloud completes five returns for them, one of which is for Colorado. On their next invoice, they will see a Colorado surcharge of $60 as a line item for the previous month–except for customers on Nationwide filing plan.

Commitment to fair pricing

We are committed to providing fair pricing for sales tax services. Our new direct filing pricing ensures that the more returns you buy, the lower the cost per return.

By moving to a subscription-based model, we aim to offer more flexibility, better value, and improved service for our customers.

If you are an existing customer of TaxCloud and have any questions or need further assistance, please contact our support team service@taxcloud.net. If you are a new prospect without a TaxCloud account and are looking for more details about our filing subscription plan, please reach out to our sales team by following this link.

Why are we changing our filing costs?

These changes are designed to offer the best value and service quality, helping our customers manage filing needs more efficiently and cost-effectively.

By transitioning to a subscription-based pricing model, we aim to provide:

  • Cost efficiency and value, particularly for high-volume filers
  • Predictable and manageable costs
  • Streamlined billing processes

Cost efficiency and value

The new pricing model offers cost efficiency and value. For customers who need to submit 15 or more returns per month, the price per return will be $27, which is lower compared to the previous fixed price of $30 before July 29, 2024. This ensures that high-volume filers get the best value.

Additionally, there is a 16% discount for annual subscriptions, allowing you to save more compared to monthly plans and better manage your budget.

Predictable and manageable costs

Our new subscription model offers clear and predictable pricing. Each subscription tier includes a specific number of filings, making it easy for you to choose the plan that fits your needs. You will be billed at the beginning of the subscription period based on your chosen tier, and any extra filings will be billed at the end of the period, ensuring there are no hidden fees or surprises.

Streamlined billing and revenue reporting

By moving to a subscription model for direct filing, we are aligning the way we charge for order subscriptions. You will receive a single, consolidated invoice, reducing administrative tasks and making it easier to manage your subscriptions. Additionally, having consistent renewal dates for both order and filing subscriptions further streamlines the process.

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