[Funding alert] Fintech startup TaxBuddy.com raises $1M from UAE-based Zenith Global
, a Mumbai-based fintech startup, on Monday raised $1 million in early-stage funding from UAE-based fund Zenith Global.
According to a statement, the funds raised will fuel market outreach of TaxBuddy's products and deepen the connection with users.
Owned by Mumbai-based SSBA Innovations Pvt. Ltd, TaxBuddy.com was launched in late 2019 as India’s online tax adviser offering for first-time, subscription-based plans of tax advisory. It offers filing services for income-tax and GST, tax-saving advisory and even ‘tax notice management services.’
Speaking about the new development, Sujit Bangar, Founder of TaxBuddy.com, said,
“This has been possible because of the optimum use of technology for services to clients. For us, the client comes first, and we fit technology to the needs of the clients — what we call ‘human technology.’ Perhaps, TaxBuddy is the first in India to automate tax planning and notice management.”
“Tax compliance and advisory services are distinct from other fintech services. The user needs to feel confident and trust that his compliance is in safe hands. Our people build that trust and the technology help us reach out to customers and expand the user base with zero concession on efficiency,” Sujit added.
There are about 60 million individual taxpayers in India. Of these, most are unaware of tax-related compliances — either they get poor advice or no advice at all, the startup said. In fact, according to the Ministry of Finance, around 94 percent of Indian taxpayers do not claim all the deductions available and end up paying higher taxes, and this is where TaxBuddy steps in.
The fintech startup claims to have become users natural choice for tax planning and tax-filing related matters.
Commenting on the investment, Rushabh Shah, CFO, Fund Zenith Global, said, “TaxBuddy is leveraging technology for automating tax advisory, which is way beyond tax return filing. Therefore, TaxBuddy is well-positioned to lead digital tax advisory space, and this makes them confident about the way forward.”