North America Tax Software Market to Grow at a CAGR of 10.8% to reach US$ 7,878.6 million from 2020 to 2027

North America Tax Software Market to 2027 - Regional Analysis and Forecasts by Product (Software, Service); Tax Type (Sales Tax, Income Tax, Corporate Tax, Others); Deployment Type (Cloud, On-premise); End-User (Individual, Commercial Enterprises); Vertical (BFSI, IT& Telecom, Healthcare, Government, Retail, Others)

  • Report Code : TIPRE00010003
  • Category : Technology, Media and Telecommunications
  • Status : Published
  • No. of Pages : 123
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The tax software market in North America was valued US$ 3,536.7 million in 2019 and is projected to reach US$ 7,878.6 million by 2027; it is expected to grow at a CAGR of 10.8% from 2020 to 2027.

The tax software is incorporated with various other software, such as customer relationship management (CRM), enterprise resource planning (ERP), and reporting applications; also, the tax software performs calculations and generates reports. Tax software solutions offer real-time business visibility through its easy to create reports. Wide-ranging tax reporting and analysis across several businesses are increasing swiftly. To manage all the tax-related reports, organizations are embracing tax software. Due to the growing demand for cloud-based technology in various industries, they are widely adopting cloud-based tax software as it mitigates the time to process, and it is also cost-effective software.

The tax software market operates in a highly fragmented and competitive marketplace. As leading companies in this market continue to broaden its addressable market, by expanding its current offerings, diversifying its client base, all the prominent players face an increasing level of competition, both from start-ups to leading established companies across the world. Several companies in the value chain are acquiring other players in the market to maintain their position in the market and provide efficient services to its customers. For instance, in September 2019, Wealthsimple Inc., a Canada-based online investment management company, acquired SimpleTax, a tax return software firm based in Canada, which is engaged in preparing and filing tax returns. The significant number of tax software providers is based in North America, mainly in the US.

The North America tax software market is expected to grow at a good CAGR during the forecast period. The growing digitization and a large number of players focusing on developing efficient solutions are the major factors supporting the growth of the tax software market in the region.

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North America Tax Software Market–Segmentation

North America Tax Software Market By Type

  • Software
  • Services

North America Tax Software Market By Deployment

  • On-Premise
  • Cloud


North America Tax Software Market By Tax Type

  • Sales Tax
  • Income Tax
  • Corporate Tax
  • Others


North America Tax Software Market By Industry Vertical

  • BFSI
  • IT& Telecom
  • Healthcare
  • Government
  • Retail
  • Others

North America Tax Software Market By Country

  • US
  • Canada
  • Mexico

North America Tax Software Market-Companies Mentioned

  • Avalara Inc
  • Chetu, Inc
  • Drake Software
  • H & R Block; Intuit Inc.
  • Sage Group PLC
  • Thomson Reuters Corporation
  • Vertex, Inc.
  • Wolters Kluwer N.V.
  • Xero Limited.
  • Intuit Inc.
Report Coverage
Report Coverage

Revenue forecast, Company Analysis, Industry landscape, Growth factors, and Trends

Segment Covered
Segment Covered

Product, Tax Type, Deployment Type, End-User, Vertical

Regional Scope
Regional Scope

North America, Europe, Asia Pacific, Middle East & Africa, South & Central America

Country Scope
Country Scope

US, Canada

1. Introduction. 13

1.1 Study Scope. 13

1.2 The Insight Partners Research Report Guidance. 13

1.3 Market Segmentation. 14

2. Key Takeaways. 16

3. Research Methodology. 21

3.1 Coverage. 22

3.2 Secondary Research. 22

3.3 Primary Research. 23

4. Tax Software Market Landscape. 24

4.1 Market Overview. 24

4.2 PEST Analysis. 26

4.2.1 North America. 26

4.3 Ecosystem Analysis. 28

4.4 Expert Opinion. 29

5. North America Tax Software Market – Key Market Dynamics. 30

5.1 Market Drivers. 30

5.1.1 Growing Popularity of Automation and Increase in Digitization. 30

5.1.2 Technological Transformation in The Retail Sector 30

5.2 Market Restraints. 31

5.2.1 Increasing privacy concerns. 31

5.3 Market Opportunities. 31

5.3.1 Integration Of Advanced Technologies Such As Blockchain and AI 31

5.4 Future Trends. 32

5.4.1 Enhancing Business Processes in Various Industries. 32

5.5 Impact Analysis of Drivers and restraints. 33

6. North America Tax Software Market–Market Analysis. 34

6.1 Tax Software Market Overview.. 34

6.2 Tax Software Market –Revenue, and Forecast to 2027 (US$ Million) 34

7. North America Tax Software Market Analysis – By Product Type. 36

7.1 Overview.. 36

7.2 Tax Software Market Breakdown, by Product Type, 2019 & 2027. 36

7.3 Software. 38

7.3.1 Overview.. 38

7.3.2 Software Market Revenue and Forecast to 2027 (US$ Million) 38

7.4 Service. 39

7.4.1 Overview.. 39

7.4.2 Service Market Revenue and Forecast to 2027 (US$ Million) 39

8. North America Tax Software Market Analysis – By Deployment Type. 40

8.1 Overview.. 40

8.2 Tax Software Market Breakdown, by Deployment Type, 2019 & 2027. 40

8.3 On-Premise. 41

8.3.1 Overview.. 41

8.3.2 On-Premise Market Revenue and Forecast to 2027 (US$ Million) 41

8.4 Cloud. 43

8.4.1 Overview.. 43

8.4.2 Cloud Market Revenue and Forecast to 2027 (US$ Million) 43

9. North America Tax Software Market Analysis – By Tax Type. 44

9.1 Overview.. 44

9.2 Tax Software Market Breakdown, by Tax Type, 2019 & 2027. 44

9.3 Sales Tax. 45

9.3.1 Overview.. 45

9.3.2 Sales Tax Market Revenue and Forecast to 2027 (US$ Million) 45

9.4 Income Tax. 46

9.4.1 Overview.. 46

9.4.2 Income Tax Market Revenue and Forecast to 2027 (US$ Million) 46

9.5 Corporate Tax. 48

9.5.1 Overview.. 48

9.5.2 Corporate Tax Market Revenue and Forecast to 2027 (US$ Million) 48

9.6 Others. 49

9.6.1 Overview.. 49

9.6.2 Others Market Revenue and Forecast to 2027 (US$ Million) 49

10. North America Tax Software Market Analysis – By End-User. 50

10.1 Overview.. 50

10.2 Tax Software Market Breakdown, by End-User, 2019 & 2027. 50

10.3 Individual 51

10.3.1 Overview.. 51

10.3.2 Individual Market Revenue and Forecast to 2027 (US$ Million) 51

10.4 Commercial Enterprises. 53

10.4.1 Overview.. 53

10.4.2 Commercial Enterprises Market Revenue and Forecast to 2027 (US$ Million) 53

11. North America Tax Software Market Analysis – By Vertical 54

11.1 Overview.. 54

11.2 Tax Software Market Breakdown, by Vertical, 2019 & 2027. 54

11.3 BFSI 55

11.3.1 Overview.. 55

11.3.2 BFSI Market Revenue and Forecast to 2027 (US$ Million) 55

11.4 IT and Telecom.. 56

11.4.1 Overview.. 56

11.4.2 IT and Telecom Market Revenue and Forecast to 2027 (US$ Million) 56

11.5 Healthcare. 57

11.5.1 Overview.. 57

11.5.2 Healthcare Market Revenue and Forecast to 2027 (US$ Million) 57

11.6 Government 58

11.6.1 Overview.. 58

11.6.2 Government Market Revenue and Forecast to 2027 (US$ Mn) 58

11.7 Retail 59

11.7.1 Overview.. 59

11.7.2 Retail Market Revenue and Forecast to 2027 (US$ Mn) 59

11.8 Others. 60

11.8.1 Overview.. 60

11.8.2 Others Market Revenue and Forecast to 2027 (US$ Mn) 60

12. North America Tax Software Market – Country Analysis. 61

12.1 North America Country Analysis. 61

12.1.1 North America: Tax Software Market, by Key Country. 61

12.1.1.1 US: Tax Software Market – Revenue and Forecast to 2027 (US$ Million) 62

12.1.1.1.1 US: Tax Software Market, by Product Type. 62

12.1.1.1.2 US: Tax Software Market, by Tax Type. 63

12.1.1.1.3 US: Tax Software Market, by Deployment Type. 63

12.1.1.1.4 US: Tax Software Market, by End-User 63

12.1.1.1.5 US: Tax Software Market, by Vertical 64

12.1.1.2 Canada: Tax Software Market – Revenue and Forecast to 2027 (US$ Million) 65

12.1.1.2.1 Canada: Tax Software Market, by Product Type. 65

12.1.1.2.2 Canada: Tax Software Market, by Tax Type. 66

12.1.1.2.3 Canada: Tax Software Market, by Deployment Type. 66

12.1.1.2.4 Canada: Tax Software Market, by End-User 67

12.1.1.2.5 Canada: Tax Software Market, by Vertical 67

12.1.1.3 Mexico: Tax Software Market – Revenue and Forecast to 2027 (US$ Million) 68

12.1.1.3.1 Mexico: Tax Software Market, by Product Type. 68

12.1.1.3.2 Mexico: Tax Software Market, by Tax Type. 69

12.1.1.3.3 Mexico: Tax Software Market, by Deployment Type. 69

12.1.1.3.4 Mexico: Tax Software Market, by End-User 69

12.1.1.3.5 Mexico: Tax Software Market, by Vertical 70

13. Industry Landscape. 71

13.1 Overview.. 71

13.2 Strategy and Business Planning. 71

13.3 Product News. 71

14. IMPACT OF COVID-19 PANDEMIC ON GLOBAL TAX SOFTWARE MARKET. 74

14.1 North America: Impact assessment of COVID-19 Pandemic. 74

14.2 Europe: Impact assessment of COVID-19 Pandemic. 75

14.3 APAC: Impact assessment of COVID-19 Pandemic. 76

14.4 Middle East & Africa: Impact assessment of COVID-19 Pandemic. 77

14.5 SAM: Impact assessment of COVID-19 Pandemic. 79

15. Company Profiles. 80

15.1 Avalara, Inc. 80

15.1.1 Key Facts. 80

15.1.2 Business Description. 80

15.1.3 Products and Services. 81

15.1.4 Financial Overview.. 81

15.1.5 SWOT Analysis. 81

15.1.6 Key Developments. 84

15.2 The Sage Group plc. 85

15.2.1 Key Facts. 85

15.2.2 Business Description. 85

15.2.3 Products and Services. 86

15.2.4 Financial Overview.. 86

15.2.5 SWOT Analysis. 86

15.2.6 Key Developments. 89

15.3 Thomson Reuters Corporation. 90

15.3.1 Key Facts. 90

15.3.2 Business Description. 90

15.3.3 Products and Services. 91

15.3.4 Financial Overview.. 91

15.3.5 SWOT Analysis. 92

15.3.6 Key Developments. 93

15.4 Vertex, Inc. 94

15.4.1 Key Facts. 94

15.4.2 Business Description. 94

15.4.3 Products and Services. 94

15.4.4 Financial Overview.. 95

15.4.5 SWOT Analysis. 95

15.4.6 Key Developments. 98

15.5 Wolters Kluwer (cch incorporated) 99

15.5.1 Key Facts. 99

15.5.2 Business Description. 99

15.5.3 Products and Services. 100

15.5.4 Financial Overview.. 101

15.5.5 SWOT Analysis. 101

15.5.6 Key Developments. 102

15.6 Xero Limited. 104

15.6.1 Key Facts. 104

15.6.2 Business Description. 104

15.6.3 Products and Services. 106

15.6.4 Financial Overview.. 106

15.6.5 SWOT Analysis. 106

15.6.6 Key Developments. 109

15.7 Chetu Inc. 110

15.7.1 Key Facts. 110

15.7.2 Business Description. 110

15.7.3 Products and Services. 110

15.7.4 SWOT Analysis. 110

15.7.5 Key Developments. 112

15.8 Drake Software. 113

15.8.1 Key Facts. 113

15.8.2 Business Description. 113

15.8.3 Products and Services. 113

15.8.4 SWOT Analysis. 113

15.9 H & R Block. 116

15.9.1 Key Facts. 116

15.9.2 Business Description. 116

15.9.3 Products and Services. 116

15.9.4 Financial Overview.. 117

15.9.5 SWOT Analysis. 117

15.10 Intuit Inc. 119

15.10.1 Key Facts. 119

15.10.2 Business Description. 119

15.10.3 Products and Services. 119

15.10.4 Financial Overview.. 120

15.10.5 SWOT Analysis. 120

15.10.6 Key Developments. 121

16. Appendix. 122

16.1 About The Insight Partners. 122

16.2 Appendix. 122


LIST OF TABLES

Table 2. North America: Tax Software Market, by Product Type – Revenue and Forecast to 2027 (US$ Million) 37

Table 3. North America: Tax Software Market, by Deployment Type – Revenue and Forecast to 2027 (US$ Million) 40

Table 4. North America: Tax Software Market, by Tax Type – Revenue and Forecast to 2027 (US$ Million) 45

Table 5. North America: Tax Software Market, by End-User – Revenue and Forecast to 2027 (US$ Million) 51

Table 6. North America: Tax Software Market, by Vertical – Revenue and Forecast to 2027 (US$ Million) 54

Table 7. US: Tax Software Market, by Product Type –Revenue and Forecast to 2027 (US$ Million) 62

Table 8. US: Tax Software Market, by Tax Type –Revenue and Forecast to 2027 (US$ Million) 63

Table 9. US: Tax Software Market, by Deployment Type –Revenue and Forecast to 2027 (US$ Million) 63

Table 10. US: Tax Software Market, by End-User –Revenue and Forecast to 2027 (US$ Million) 63

Table 11. US: Tax Software Market, by Vertical –Revenue and Forecast to 2027 (US$ Million) 64

Table 12. Canada: Tax Software Market, by Product Type – Revenue and Forecast to 2027 (US$ Million) 65

Table 13. Canada: Tax Software Market, by Tax Type – Revenue and Forecast to 2027 (US$ Million) 66

Table 14. Canada: Tax Software Market, by Deployment Type – Revenue and Forecast to 2027 (US$ Million) 66

Table 15. Canada: Tax Software Market, by End-User – Revenue and Forecast to 2027 (US$ Million) 67

Table 16. Canada: Tax Software Market, by Vertical – Revenue and Forecast to 2027 (US$ Million) 67

Table 17. Mexico: Tax Software Market, by Product Type – Revenue and Forecast to 2027 (US$ Million) 68

Table 18. Mexico: Tax Software Market, by Tax Type – Revenue and Forecast to 2027 (US$ Million) 69

Table 19. Mexico: Tax Software Market, by Deployment Type – Revenue and Forecast to 2027 (US$ Million) 69

Table 20. Mexico: Tax Software Market, by End-User – Revenue and Forecast to 2027 (US$ Million) 69

Table 21. Mexico: Tax Software Market, by Vertical – Revenue and Forecast to 2027 (US$ Million) 70

Table 22. List of Abbreviation. 122


LIST OF FIGURES

Figure 1. North America Tax Software Market Segmentation. 14

Figure 2. North America Tax Software Market Segmentation – By Country. 15

Figure 3. North America Tax Software Market Overview.. 16

Figure 4. Software Product Type to Show Remarkable Traction During Forecast Period. 17

Figure 5. Commercial End User to Show Remarkable Traction During Forecast Period. 17

Figure 6. Retail Vertical to Dominate the Tax Software Market 18

Figure 7. Cloud to Dominate the Tax Software Market 19

Figure 8. North America Tax Software Market, Industry Landscape. 19

Figure 9. North America: PEST Analysis. 26

Figure 10. Ecosystem Analysis. 28

Figure 11. Expert Opinion. 29

Figure 12. North America Tax software Market Impact Analysis of Drivers and Restraints. 33

Figure 14. North America Tax Software Market Breakdown, by Product Type (2019 and 2027) 36

Figure 15. North America Software Market Revenue and Forecast to 2027(US$ Million) 38

Figure 16. North America Service Market Revenue and Forecast to 2027(US$ Million) 39

Figure 17. North America Tax Software Market Breakdown, by Deployment Type (2019 and 2027) 40

Figure 18. North America On-Premise Market Revenue and Forecast to 2027(US$ Million) 41

Figure 19. North America Cloud Market Revenue and Forecast to 2027(US$ Million) 43

Figure 20. North America Tax Software Market Breakdown, by Tax Type (2019 and 2027) 44

Figure 21. North America Sales Tax Market Revenue and Forecast to 2027(US$ Million) 46

Figure 22. Income Tax Market Revenue and Forecast to 2027(US$ Million) 46

Figure 23. Corporate Tax Market Revenue and Forecast to 2027(US$ Million) 48

Figure 24. North America Others Market Revenue and Forecast to 2027(US$ Million) 49

Figure 25. North America Tax Software Market Breakdown, by End-User (2019 and 2027) 50

Figure 26. North America Individual Market Revenue and Forecast to 2027(US$ Million) 51

Figure 27. North America Commercial Enterprises Market Revenue and Forecast to 2027(US$ Million) 53

Figure 28. North America Tax Software Market Breakdown, by Vertical (2019 and 2027) 54

Figure 29. North America BFSI Market Revenue and Forecast to 2027(US$ Million) 55

Figure 30. North America IT and Telecom Market Revenue and Forecast to 2027(US$ Million) 56

Figure 31. North America Healthcare Market Revenue and Forecast to 2027(US$ Million) 57

Figure 32. North America Government Market Revenue and Forecast to 2027(US$ Mn) 58

Figure 33. North America Retail Market Revenue and Forecast to 2027(US$ Mn) 59

Figure 34. North America Others Market Revenue and Forecast to 2027(US$ Mn) 60

Figure 35. North America: Tax Software Market Revenue Share, by Key Country (2019 and 2027) 61

Figure 36. US: Tax Software Market – Revenue and Forecast to 2027 (US$ Million) 62

Figure 37. Canada: Tax Software Market – Revenue and Forecast to 2027 (US$ Million) 65

Figure 38. Mexico: Tax Software Market – Revenue and Forecast to 2027 (US$ Million) 68

Figure 39. IMPACT OF COVID-19 PANDEMIC IN NORTH AMERICAN COUNTRY MARKETS. 74

Figure 40. Impact of COVID-19 Pandemic in European Country Markets. 76

Figure 41. IMPACT OF COVID-19 PANDEMIC IN APAC COUNTRY MARKETS. 77

Figure 42. Impact of COVID-19 Pandemic in Middle East & African Country Markets. 77

Figure 43. IMPACT OF COVID-19 PANDEMIC IN SAM COUNTRY MARKETS. 79

The List of Companies - North America Tax Software Market

  1. Avalara Inc
  2. Chetu, Inc
  3. Drake Software
  4. H & R Block; Intuit Inc.
  5. Sage Group PLC
  6. Thomson Reuters Corporation
  7. Vertex, Inc.
  8. Wolters Kluwer N.V.
  9. Xero Limited.
  10. Intuit Inc.

The Insight Partners performs research in 4 major stages: Data Collection & Secondary Research, Primary Research, Data Analysis and Data Triangulation & Final Review.

  1. Data Collection and Secondary Research:

As a market research and consulting firm operating from a decade, we have published many reports and advised several clients across the globe. First step for any study will start with an assessment of currently available data and insights from existing reports. Further, historical and current market information is collected from Investor Presentations, Annual Reports, SEC Filings, etc., and other information related to company’s performance and market positioning are gathered from Paid Databases (Factiva, Hoovers, and Reuters) and various other publications available in public domain.

Several associations trade associates, technical forums, institutes, societies and organizations are accessed to gain technical as well as market related insights through their publications such as research papers, blogs and press releases related to the studies are referred to get cues about the market. Further, white papers, journals, magazines, and other news articles published in the last 3 years are scrutinized and analyzed to understand the current market trends.

  1. Primary Research:

The primarily interview analysis comprise of data obtained from industry participants interview and answers to survey questions gathered by in-house primary team.

For primary research, interviews are conducted with industry experts/CEOs/Marketing Managers/Sales Managers/VPs/Subject Matter Experts from both demand and supply side to get a 360-degree view of the market. The primary team conducts several interviews based on the complexity of the markets to understand the various market trends and dynamics which makes research more credible and precise.

A typical research interview fulfils the following functions:

  • Provides first-hand information on the market size, market trends, growth trends, competitive landscape, and outlook
  • Validates and strengthens in-house secondary research findings
  • Develops the analysis team’s expertise and market understanding

Primary research involves email interactions and telephone interviews for each market, category, segment, and sub-segment across geographies. The participants who typically take part in such a process include, but are not limited to:

  • Industry participants: VPs, business development managers, market intelligence managers and national sales managers
  • Outside experts: Valuation experts, research analysts and key opinion leaders specializing in the electronics and semiconductor industry.

Below is the breakup of our primary respondents by company, designation, and region:

Research Methodology

Once we receive the confirmation from primary research sources or primary respondents, we finalize the base year market estimation and forecast the data as per the macroeconomic and microeconomic factors assessed during data collection.

  1. Data Analysis:

Once data is validated through both secondary as well as primary respondents, we finalize the market estimations by hypothesis formulation and factor analysis at regional and country level.

  • 3.1 Macro-Economic Factor Analysis:

We analyse macroeconomic indicators such the gross domestic product (GDP), increase in the demand for goods and services across industries, technological advancement, regional economic growth, governmental policies, the influence of COVID-19, PEST analysis, and other aspects. This analysis aids in setting benchmarks for various nations/regions and approximating market splits. Additionally, the general trend of the aforementioned components aid in determining the market's development possibilities.

  • 3.2 Country Level Data:

Various factors that are especially aligned to the country are taken into account to determine the market size for a certain area and country, including the presence of vendors, such as headquarters and offices, the country's GDP, demand patterns, and industry growth. To comprehend the market dynamics for the nation, a number of growth variables, inhibitors, application areas, and current market trends are researched. The aforementioned elements aid in determining the country's overall market's growth potential.

  • 3.3 Company Profile:

The “Table of Contents” is formulated by listing and analyzing more than 25 - 30 companies operating in the market ecosystem across geographies. However, we profile only 10 companies as a standard practice in our syndicate reports. These 10 companies comprise leading, emerging, and regional players. Nonetheless, our analysis is not restricted to the 10 listed companies, we also analyze other companies present in the market to develop a holistic view and understand the prevailing trends. The “Company Profiles” section in the report covers key facts, business description, products & services, financial information, SWOT analysis, and key developments. The financial information presented is extracted from the annual reports and official documents of the publicly listed companies. Upon collecting the information for the sections of respective companies, we verify them via various primary sources and then compile the data in respective company profiles. The company level information helps us in deriving the base number as well as in forecasting the market size.

  • 3.4 Developing Base Number:

Aggregation of sales statistics (2020-2022) and macro-economic factor, and other secondary and primary research insights are utilized to arrive at base number and related market shares for 2022. The data gaps are identified in this step and relevant market data is analyzed, collected from paid primary interviews or databases. On finalizing the base year market size, forecasts are developed on the basis of macro-economic, industry and market growth factors and company level analysis.

  1. Data Triangulation and Final Review:

The market findings and base year market size calculations are validated from supply as well as demand side. Demand side validations are based on macro-economic factor analysis and benchmarks for respective regions and countries. In case of supply side validations, revenues of major companies are estimated (in case not available) based on industry benchmark, approximate number of employees, product portfolio, and primary interviews revenues are gathered. Further revenue from target product/service segment is assessed to avoid overshooting of market statistics. In case of heavy deviations between supply and demand side values, all thes steps are repeated to achieve synchronization.

We follow an iterative model, wherein we share our research findings with Subject Matter Experts (SME’s) and Key Opinion Leaders (KOLs) until consensus view of the market is not formulated – this model negates any drastic deviation in the opinions of experts. Only validated and universally acceptable research findings are quoted in our reports.

We have important check points that we use to validate our research findings – which we call – data triangulation, where we validate the information, we generate from secondary sources with primary interviews and then we re-validate with our internal data bases and Subject matter experts. This comprehensive model enables us to deliver high quality, reliable data in shortest possible time.

Your data will never be shared with third parties, however, we may send you information from time to time about our products that may be of interest to you. By submitting your details, you agree to be contacted by us. You may contact us at any time to opt-out.

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