Sales tax is no longer a periodic compliance exercise; it’s an ongoing operating system that touches order-to-cash, procure-to-pay, ERP configuration, data governance, audit defense, and more. As companies grow, expand into new jurisdictions, add sales channels, or complete acquisitions, the tax function must scale in lockstep. However, most internal tax teams are not structured to support this level of operational demand. They are often built around a small number of highly specialized individuals, creating concentration risk and institutional dependency that becomes difficult to sustain over time.

Outsourced Tax Department Solutions (OTDS) give organizations a modern operating model for indirect tax—one that replaces institutional dependency with stabilized operations, scalable infrastructure, embedded controls, and audit-ready execution. DMA delivers the people, process, and technology required to run tax as a disciplined, resilient business function.

What is an Outsourced Tax Department Solution (OTDS)?

Centralize ownership and accountability
Eliminate fragmented handoffs between vendors and internal teams
Improve consistency, documentation, and controls
Provide leadership-level insight and reporting

Outsourcing allows companies to replace a person-dependent function with a managed operating model. When you partner with DMA, our team of experts assumes operational responsibility for defined components—or the entirety—of the indirect tax function. DMA’s OTDS engagements are tailored to a company’s specific needs and may include full or partial outsourcing of the indirect tax function, such as:

Sales and use tax compliance across U.S. and international jurisdictions
Month-end close, accrual, and reserve analysis
Audit support, audit defense, and notice management
Exemption certificate management
Taxability research and policy maintenance
Tax engine configuration, monitoring, and updates
SOX-aligned controls, reconciliations, and documentation
Ongoing issue resolution and operational support
Risk management through cross-functional and stakeholder engagement
Services are delivered within a structured operating framework designed to support accuracy, audit readiness, and long-term continuity.

Addressing Common Outsourcing Concerns

Organizations considering indirect tax outsourcing often share similar concerns: loss of control, lack of visibility, inconsistent service, and provider turnover. DMA’s OTDS model is intentionally designed to address and ease each of these concerns.

Clients maintain transparency through centralized access to deliverables, calendars, documentation, and status updates. Governance is reinforced through clearly defined roles, escalation paths, and KPIs aligned with business and tax department objectives. Most importantly, DMA brings continuity—both in people and in process—so knowledge is retained rather than repeatedly rebuilt.

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What Sets DMA Apart in Indirect Tax Outsourcing

Independence from audit-related conflicts or provider restrictions
Consistent, U.S.-based delivery—no offshoring model
Professionals who understand internal tax leadership pressures and realities

As an independent provider with onshore delivery and teams led by former in-house tax leaders, DMA delivers continuity, accountability, and practical expertise aligned with how tax departments actually operate. This combination allows DMA to operate as a true extension of the client’s tax department, not just an external service provider.

Flexible by Design

Outsourcing does not have to be all or nothing. DMA structures OTDS engagements around what clients view as administrative versus strategic, allowing organizations to retain internal oversight while outsourcing execution-heavy responsibilities.

Engagements may include:

  • Fully outsourced indirect tax departments (business process ownership), hybrid, or co-sourced operating models
  • Managed services or optimized shared services

As business needs change, services can scale accordingly without disruption.

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Built for Stability and Continuous Improvement

Reduce operational risk and audit exposure
Eliminate dependency on individual contributors
Avoid the need to build and maintain internal automation or AI tools
Adapt as regulations, systems, and business models evolve

DMA’s model is designed to support long-term stability while continuously improving how the indirect tax function operates. Services are delivered within a structured operating framework designed to support accuracy, audit readiness, and long-term continuity.

Strengthening the Indirect Tax Function

DMA’s Outsourced Tax Department Solution provides organizations with a smarter, more sustainable way to manage indirect tax. With DMA, clients gain a trusted partner that brings leadership, execution, and accountability—without sacrificing control or visibility.

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Frequently Asked Questions

  • OTDS is a managed operating model for the indirect tax function rather than a task-based outsourcing model.

    Traditional outsourcing typically focuses on isolated activities such as return preparation or audit support. OTDS centralizes ownership, accountability, and governance across the entire function—providing leadership, execution, controls, and continuity within a unified framework.

    The result is a resilient, scalable tax operation rather than a collection of disconnected services.

  • No. OTDS is designed to increase control and transparency.

    Clients retain oversight through defined governance, approval workflows, KPIs, and centralized access to calendars, documentation, filings, audit materials, and operational reporting. Roles and escalation paths are clearly defined, so accountability is never ambiguous.

    DMA operates as an extension of your tax department, offering full transparency and accessibility to clients.

  • Yes. OTDS is flexible by design.

    Some organizations outsource the entire indirect tax function. Others retain strategic oversight while outsourcing execution-heavy operations such as compliance, audits, accruals, and tax engine support.

    DMA structures each engagement around what clients view as administrative versus strategic, allowing services to scale as business needs evolve.

  • Audit readiness is built into the operating model.

    OTDS includes documented processes, reconciliations, controls, and governance aligned to SOX and internal audit requirements. DMA supports audit defense, notice management, documentation, and ongoing issue resolution to ensure the tax function operates with discipline and consistency.

    The goal is not just to pass audits, but to reduce audit exposure over time.

  • OTDS eliminates dependency on individual contributors.

    Knowledge is retained through documented processes, standardized controls, shared ownership models, and leadership continuity. This reduces institutional risk and prevents the disruption that often occurs when key tax personnel leave or change roles.

    The operating model remains stable even as internal staffing changes.

Learn More About Outsourcing Your Tax Department

Connect with our experts to discuss a flexible, end-to-end approach to indirect tax outsourcing customized to meet your unique business goals.