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Customer Story
William Mullaney

William Mullaney

Sr. Manager Indirect Tax - AIG

Thermo Fisher Scientific
Industry Manufacturing
Location —
Employees —
Products Avalara AvaTax, Avalara Data Storage, ECM Premium
Q

How does Avalara make it easier to stay in compliance with all your jurisdictions?

A
What it does for me, is one state and domestic state that we have a lot of issues with in regards to compliance and Taxation is the state of California because they have, what's called true, partial exemption, certificates, one for manufacturing and R&D, and another one for farm equipment, and machinery. And so with those partial exemptions do, is it exempts the customer from the state, taxation portion of what's due and the only do for the county and City. In piece of it. So you can't just treat it as a full exemption because if you do, you're not charging the customer. Any type of sales tax at all the partial exemption allows you to capture the city and county tax that's actually do and take advantage of them. Not being taxed for the state part of the sales tax. So that's a big proponent of ours with that because currently we probably pay somewhere between 1.5 and two million dollars, quarterly to the state of California and sales tax. So this is a big fundamental a compliance issue that we need to have a handle.

What it does for me, is one state and domestic state that we have a lot of issues with in regards to compliance and Taxation is the state of California because they have, what's called true, partial exemption, certificates, one for manufacturing and R&D, and another one for farm equipment, and machinery. And so with those partial exemptions do, is it exempts the customer from the state, taxation portion of what's due and the only do for the county and City. In piece of it. So you can't just treat it as a full exemption because if you do, you're not charging the customer. Any type of sales tax at all the partial exemption allows you to capture the city and county tax that's actually do and take advantage of them. Not being taxed for the state part of the sales tax. So that's a big proponent of ours with that because currently we probably pay somewhere between 1.5 and two million dollars, quarterly to the state of California and sales tax. So this is a big fundamental a compliance issue that we need to have a handle.

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