MINI-EPISODE: Tech Company Tax Tips

Extraordinary Pursuits by BIP Ventures

In this mini-episode of Extraordinary Pursuits, BIP Ventures financial performance authority Mike Vandiver talks with Stephen Bradshaw, a partner in Bennett Thrasher's state and local tax practice. They discuss ways that technology companies can navigate complex tax landscapes to stay compliant and gain advantages.

In a few short minutes, you’ll learn ways to minimize sales tax exposure, including business-to-business exemptions and obtaining exemption certificates. The conversation also covers ways to mitigate prior period exposure and the importance of charging sales tax to comply with regulations. The conversation provides valuable insights for technology companies looking to ensure compliance and strategic advantages.

Takeaways

• Technology companies should be aware of the opportunities to minimize sales tax exposure.
• Business-to-business exemptions can be utilized in certain states to exempt software sales to businesses.
• Obtaining exemption certificates from customers is important for compliance and mitigating prior period exposure.
• Charging sales tax is expected by customers and should not be a concern for technology companies.
• Complying with sales tax regulations is crucial for avoiding potential issues and maintaining strategic advantage in M&A scenarios.

Standout Quotes

• "What are the opportunities to minimize or mitigate your sales tax exposure as you go through that process or just in general?"
• "Getting those exemption certificates is also a key way to mitigate prior period exposure."
• "You, the customer, are responsible for sales taxes."

About Stephen Bradshaw:

Stephen Bradshaw is a partner at Bennett Thrasher specializing in State and Local Tax, and a frequent speaker on the topic. His focus includes conducting nexus studies, advising on tax categorizations, negotiating voluntary disclosure agreements, preparing for diligence processes, and establishing best-practice procedures for automated sales tax software like Avalara. Stephen's insights have been featured in prestigious publications such as the Atlanta Business Chronicle, Accounting Today, Thompson Reuters, and the Georgia Society of CPAs. Before joining Bennett Thrasher, he spent five years at Deloitte Tax, LLP in the Multistate Tax Services division, providing state income/franchise tax consulting, compliance, and ASC 740 (provision) services to major corporate clients.

Let's Connect

Stephen Bradshaw

• LinkedIn: https://www.linkedin.com/in/stephenbradshawbt/
• Website: https://www.btcpa.net/

BIP Ventures

• Website: bipventures.vc
• LinkedIn: https://www.linkedin.com/bipventures/
• Instagram: https://www.instagram.com/bipventures/
• Twitter: https://twitter.com/bipventures
• YouTube: https://youtube.com/@bipventures