Statement of Work – Tax Registration Services
This Statement of Work (“SOW”) is between your company (“you” or “your”) and Avalara, Inc., a Washington corporation (“Avalara,” “us,” “we” or “our”). By executing a Sales Order that references this SOW, You accept and agree to be bound by this SOW and the Avalara Terms and Conditions, available at www.avalara.com/legal/terms (“Terms”), which are incorporated herein by this reference. All capitalized terms used and not defined herein have the meanings defined in the Terms.
You have determined that your company should register to collect and remit sales and use taxes in a number of additional taxing jurisdictions. You have requested our assistance in this registration effort.
Scope of Services
We will provide you tax registration services for the various taxing authorities you have identified in the Sales Order. Accordingly, we will assist you and your company in registering for sales and use tax (or equivalent transaction tax) in each of these taxing jurisdictions.
Our assistance in this effort will be as follows:
- We will provide you with a questionnaire requesting pertinent information related to the registration process, such as ownership information, historical or anticipated start date, estimated taxable sales, etc.;
- We will secure the appropriate registration form(s) from each taxing jurisdiction;
- We will complete the registration form(s) with the information you provide to the best of our ability;
- In some cases we may make additional information requests to you based on more specific information required on the registration form(s); and
- We will prepare a registration package to you with a cover letter detailing the remaining steps – including specific supporting documentation required – along with the registration form(s) for your final review and signature.
It is your responsibility to finalize the registration form(s) and submit them to the taxing authority along with any supporting documentation and fees required.
Some jurisdictions require the registration process be completed electronically using their online application process. In these cases we will complete the online registration process on your behalf up to the point at which a final authorization is required for submission. We will provide you with the appropriate login credentials to review and complete the online registration application within a specific timeframe.
Other Registration Conditions
In many jurisdictions there may be additional registration requirements or prerequisites, including registration with the Secretary of State, bonding requirements based on estimated taxable sales, etc. You are responsible for completing these additional registration requirements or prerequisites.
The scope of this engagement addresses sales and use tax registration(s). Registering for sales and use tax collection and reporting can have an impact on federal, state and other tax reporting requirements. You should consult your internal or outside tax advisors regarding the other tax implications of this engagement – such as additional registration requirements for state income and/or franchise tax, business license tax, etc.
Local Tax Registrations
Many states have locally-administered taxing schemes that may be different from the state level. The services performed in this engagement are limited to the state-level only taxing authorities listed in the Sales Order unless additional locally-administered jurisdictions are indicated as well.
Combined Business Tax Registration
In some jurisdictions the sales and use tax registration process is part of a combined business registration that may involve other taxes. We will complete the registration application portion for sales and use tax; however, it is up to you to address and complete as necessary the remainder of the combined business registration application.
Start Date / Effective Date of Tax Registration
The registration process will require you to indicate the start or effective date of tax reporting in each jurisdiction. We include this key piece of information on the registration form(s) based on the information you provide to us. You should consider this information carefully as any historical activity conducted by your company in the taxing jurisdiction prior to this date could result in additional liability.
We are prepared to begin work on this project at a mutually-agreeable time following our acceptance of this SOW. The timing related to this project is dependent on two key factors: 1) the quality and timeliness of information provided by you and 2) the number of registrations to be completed. Typically we are able to complete these projects within a three to four week period upon the return of the completed registration questionnaire. A delay in processing may occur if all required information is not completed.
Our professional fees are based upon the value of our services, the complexity of the engagement, and the resources utilized. For this specific engagement our fees for professional services are listed in the Sales Order (typically there is only one registration application per taxing jurisdiction.)
An invoice in full will be issued within 30 days of acceptance of this SOW.
If you are enrolled in the Autopay program, invoices related to this project will be charged to the payment arrangement on file.
Other Terms and Conditions
- In the event you terminate this SOW without cause before the services set forth herein are completed, you agree to pay the full cost of the services;
- You and your company represent that all information and documentation provided to us for presentation to the taxing authority is accurate to the best of your knowledge;
- Your company is responsible for all sales and use tax decisions made and tax positions taken (including the type of registration – sales tax vs. seller’s use tax, voluntary vs. non-voluntary, etc.)
- Your company is responsible for submitting the completed and signed registration form(s) and addressing any follow-up requirements or correspondence from the taxing authorities;
- The decision to register to collect and remit these taxes is the sole responsibility of your company; and;
- In the event you fail to provide us with the necessary information to register your company as required by this SOW within sixty days of the date the SOW was signed, we shall have the right to terminate the SOW by notifying you in writing.