Wolters Kluwer Tax & Accounting has signed and completed an agreement to acquire tax calculation engine SureTax to bolster Wolters Kluwer’s taxation services and solutions for the telecom markets.
With the acquisition, Wolters Kluwer also plans to extend these taxation services to the utilities and energy sector.
Founded in 2011, Alpharetta, Ga.-based SureTax has seven employees serving 100 customers. SureTax and Wolters Kluwers have partnered since 2012 to deliver the SureTax cloud-based telecoms tax software solution, which supports telecoms, sales and use, and value-added tax on a single platform. Wolters Kluwer expects the acquisition to deliver a return above the company’s after-tax cost of capital (8 percent) in three to five years or earlier, and to be slightly earnings-enhancing in the first full year.
“The acquisition of SureTax aligns with Wolters Kluwer’s strategy to invest in leading high growth positions in tax and accounting software,” stated Karen Abramson, CEO of Wolters Kluwer Tax & Accounting. “The profile and number of companies impacted by telecom taxes has grown significantly over the years as more companies are delivering services and solutions via the Internet.”
Wolters Kluwer will continue serving SureTax customers with solutions including real-time tax calculation solution SureTax Telecom, specifically designed for the industry, and SureTax Energy, a workflow solution leveraging Wolters Kluwer tax content.
“Wolters Kluwer Tax & Accounting has long been recognized as a premier provider of telecom content to drive automated solutions,” Abramson stated. “The acquisition of SureTax, with whom we have enjoyed a long-standing business relationship, confirms our commitment to the corporate market and allows us to continue offering customers best-of-breed technology and content solutions.”
