Mumbai-headquartered Fintech firm TaxBuddy recently revealed that it has secured $1 million in early-stage funding from UAE’s fund Zenith Global.
Launched in 2019 and owned by Mumbai’s SSBA Innovations Pvt. Ltd, the firm aims to offer an online tax advisory service through various subscription-based plans.
Sujit Bangar, Founder at TaxBuddy.com and Finbingo.com, said that for his company, the client always comes first and they’ve developed technology that serves the requirements of their customers. He claims that TaxBuddy is the first Fintech firm in India to automate the tax planning process.
As first reported by Entrepreneur, Bangar noted that the funds raised will help the company with offering key services to India’s small businesses.
Bangar explains that tax compliance and advisory services are different from other types of Fintech services. He believes that the client must feel confident and trust that their compliance requirements are being handled by a reliable service provider. He claims that his company is focused on building that trust and the technology helps them reach out to clients and address their needs.
The TaxBuddy platform provides various filing services for income-tax purposes and good and services tax (GST), tax-saving advisory, and tax notice management services to individuals, working professionals, and businesses. These services are accessible via the TaxBuddy app and online portal.
For individual users, TaxBuddy provides tax planning, tax return filing, and tax issues management. For businesses or companies, the platform offers GST registration, GST returns filing, and issues management.
The tax planning and filing deadline in India is approaching. TaxBuddy claims that it can help clients with preparing this paperwork instead of going through small investment brokers who “pretend” to be professional tax advisors.
TaxBuddy reveals that there are around 60 million individual taxpayers in India. The majority of these clients are not fully aware of their tax-related obligations, the Fintech firm noted. These people either get bad advice or no advice at all regarding how to properly file their taxes. India’s Ministry of Finance has revealed that about 94% of taxpayers don’t actually claim all the deductions which means they may end up paying a lot more in taxes.
TaxBuddy is reportedly registered as an e-filing intermediary with the Indian government.