More than 10 Bn Euros of too much-paid income tax money are not claimed back only in Germany every year.
This is why we founded Taxtastic, a Machine Learning B2B Startup on a mission to connect tax-relevant data to create value. With our self-developed natural language processing technology, we fully understand expenses (from receipts and bank transactions) and connect them with the individual situation of the taxpayer and classify them correctly. For the development of this algorithm we received + 120 K of funding for the advancement of trustworthy AI from the Austrian Wirtschafts Service.
- For the development of this algorithm we received + 120 K of funding for the advancement of trustworthy AI from the Austrian Wirtschafts Service. - We have a B2C App called tax@home with more than 35.000 downloads and more than 10.000 active users and 4.8 Rating in the App stores. This App is the source for training our algorithm and primarily serves to demonstrate that our algorithm works - we have one paying B2B Customer -We just finished the xpreneurs programme and are in very interesting talks with legacy systems, banks and public sector.
The problem we are trying to solve is highly complex from a technological perspective. No one has managed to make classifications based on the connection of receipts/bank transactions with the individual use case of a taxpayer. So if we manage to do it, we will sell the API to everyone who wants to provide their users with a new feature classifying expenses in a way that generates cash back for them. This would primarily be interesting for banks and other tax applications (eventually also for customer loyalty programms). In the future we will also automate the tax classification for freelancers and other forms of income tax with a focus on the DACH region.
Problem or Opportunity
Only in Germany, around 10 Million people have never claimed a tax refund. On average they are missing out on getting a yearly cashback of more than 1000 euros. This means more than 10 Bn Euros of too much paid income tax money are not claimed back only in Germany every year.
So why would you refrain from getting a tax refund of more than 1000 Euros per year? Tax declarations a pain!
Solution (product or service)
Product: data driven tax recommendatin API With our self-developed natural language processing technology we fully understand expenses (from receipts and bank transactions) and connect them with the personal information provided by the taxpayer and classify them correctly for the tax declaration. If we manage to connect expenses with the situation of the income tax payer, we are sure that we can do it for any tax case in any given country.
Our main competitors are key technology providers, eg Finmatics, Bludelta, Gini, Konfuzio, .... However, most of them are in the field of reading out receipts with OCR and computer vision. We come in afterward understanding which products were purchased and whether they are tax-relevant for the single user. Also legacy systems (eg. BMD and Datev) are our competitors, but more likely our clients
Advantages or differentiators
Our team: Karl has more than 10 years of experience in tax consulting, Stefan more than 5 years of experience in tax app development, Alex, Jonas and Bart are Machine learning engineers and I am originally a lawyer and in charge of the business.
USP = Highly complex technology: understanding expenses (receipts & bank transactions) and connecting them with the individual use case of the user in order to make recommendations for tax classifcation
Business Model: SaaS - subscription fee We will charge per classification processed, but in order to make pricing attractive and easy to manage, we will bundle packages.