Case Study: Seamless International Tax Services for a Global Online Retailer

About the Client:

Aprio engaged with an online retailer that specializes in selling “surprise boxes” through its virtual platform. Each box is filled with a random assortment of merchandise and products for customers to enjoy.

The Challenge:

The client was in the process of launching a new online business and needed professional guidance to establish its business structure and navigate sales taxes, income taxes and bookkeeping. The client’s chief financial officer and legal counsel were not based in the United States and were unfamiliar with US tax regulations.

On top of these needs and concerns, the client’s management team set a tight deadline for launching its new business. Due to the unique nature of its work and products, the client recognized it would face tax issues that lacked clear, established guidance from the IRS.

The Solution:

After a full assessment, Aprio identified several holistic services that could suit the client’s needs. Aprio’s team strategically prioritized the services the client required and identified leaders from several disciplines across the firm to address all the client’s challenges concurrently. The team flagged the most urgent matters first to meet the client’s go-live deadline.

Ultimately, Aprio developed a cross-border legal structure and operating model, which addressed the client’s foreign ownership and overseas operations.

The Result: 

Leveraging our comprehensive suite of international tax services, Aprio proposed a global structure that significantly reduced the client’s effective US tax rate from 63.7% to approximately 35%.

This case study illustrates how Aprio can serve as a single-source financial growth partner for international companies, including startup companies with new business aspirations.

Our International Tax team helps companies safeguard their international investments, while implementing compliant international tax strategies that allow them to minimize risk and tax dollars paid.

If you are interested in expanding across borders and partnering with Aprio to navigate US
tax compliance, contact us today.

Jed Rogers
International Tax, Partner
[email protected]
770.353.3184