Newsflash - Sage buys Taxsoft
Newcastle-based accounting software specialist Sage announced on Thursday 25 February that it had acquired taxation specialist Taxsoft for #10.5m.
Taxsoft is the lastest in a sequence of Sage purchases, but is notable for opening up a new product line for Sage in tax computation software. Rival supplier Pegasus pioneered this strategy in 1997 when it acquired Birmingham-based tax and practice management software house CSM.
Taxsoft, which made an operating profit of #900,000 on a turnover of #4.8m in the year to 30 September 1998, will be integrated into Sage’s Professional Accountants Division. The tax specialist supplies corporate and personal tax preparation software, mainly to accountants in practice. Sage made its name as a supplier of PC-based software for small businesses, but with Taxsoft in its stable, the company can now count names like ASDA and Pilkington’s as well as many of the country’s leading accountancy firms among its client base.