- Case Study -

Tellermate Deals with Inaccuracies from Former Sales Tax Provider


The Challenge:

Managing growing sales tax obligation with limited resources and expertise while dealing with inaccuracies from their previous provider

As a global company with U.S. operations across the entire country as well as Canada, Tellermate’s internal sales tax process was straining the American finance team. With every state having its own rules and regulations, it was becoming increasingly difficult to manage this process internally, especially because their U.K. based team was not trained or technically skilled in American sales tax and thereby unable to offer critical support in this sector. Tellermate was employing a significant amount of time and resources to stay on top of the more than 40 states they were registered in, which was taking away from other core business activities.

When Tellermate’s Financial Controller, Jon Powell, joined the team, he suspected gaps and errors within the existing process and had concerns that a separate sales tax company had unduly registered them in several states where they did not meet or exceed the requirement to be registered. Over time, he developed additional concerns that the sales tax rates being supplied by this provider weren’t always accurate or kept up to date. The sales tax company’s decision to over-register for sales tax in more states than was required resulted in additional administrative costs while inaccurate rates meant that at times, Tellermate could be invoicing too little or too much for various municipalities.

Tellermate needed a sales tax solution they could trust to handle their large volume of monthly filings with precision, as well as experts they could turn to for guidance on matters such as when to register and if nexus thresholds have been met. They needed to optimize their sales tax compliance process in a method that would eliminate the burden, time constraint, and excess cost it was imposing on them.


Why TaxConnex?

Professional. Friendly. Reliable.

“We understood the array of benefits that using TaxConnex services would provide our team, especially the amount of time we would be able to recoup and use for other projects,” explained Jon Powell, Tellermate’s Financial Controller. “Internally, the person who managed the majority of our sales tax process has been able to redistribute about 60% of their workload toward other key responsibilities within our department since outsourcing our sales tax to TaxConnex.”

As a supplier of cash management devices to several global franchises, keeping up with monthly return prep and filing, remittance, notices, and ever-changing rules and regulations across numerous cities and municipalities can be a struggle for any finance professional, especially when it’s not their one and only job function. That’s why Tellermate leverages the professional, friendly, and reliable support of TaxConnex.

“Our first impression of TaxConnex was how professional and friendly everyone is. They have been very helpful in answering all our questions and we always get timely responses.” explained Powell.


The Results:

Since partnering with TaxConnex, Tellermate has experienced complete optimization of the entire sales tax compliance process. TaxConnex handles everything from return preparation, filing, remittance, and notice resolution for Tellermate. The ad hoc support that is included in TaxConnex’s managed services is used for expert guidance on sales tax questions including the suspicions Powell had involving over-registration in 5 states. TaxConnex was able to advise which of those states Tellermate did not meet the minimum requirements to be registered for sales tax in and effectively eliminated those excessive administrative fees. The manual and labor-intensive process that previously stretched the team is no longer a burden, saving Tellermate both time and cost.

“We understand that American sales tax is virtually the exact equivalent of value-added tax (VAT) in the U.K., but in the U.K., it’s paid centrally.” expressed Powell. “Having the vast array of different municipalities and cities makes this process much more difficult for our company.”

Tellermate credits their partnership with TaxConnex as the key factor in optimizing their resources through outsourcing their sales tax obligations. TaxConnex stands out among other sales tax providers, including software solutions, by providing accurate, professional, and friendly service that relieves their clients of the stress of seeking answers to tax-related inquiries.

“We can always rely on a timely response to our inquiries. Our working relationship (with our practitioner) is great because questions can be asked in both directions. I would recommend TaxConnex to any and every business.” said Powell. “Our team is no longer stretched during peak times and the cost of service, for the value and benefit we receive is exceptional.”


About Tellermate

Tellermate has been a leading provider and manufacturer of global cash management solutions for over 40 years. Headquartered in the United Kingdom, Tellermate helps businesses across the retail, grocery, food service, and financial industries optimize their cash handling processes. Tellermate’s solutions include cash counters, sorters, recyclers, and software that helps businesses track and manage their cash flow. For more information, please visit


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