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ClearTax is not the archetypal Y Combinator launch. Founded in 2011 and based in Delhi, the startup already has a able attendance in India, area it automates the assets tax filing action for workers. Aftermost year, over 300,000 bodies acclimated ClearTax to book their taxes. Furthermore, the aggregation is additionally the aboriginal one focused accurately on the Indian bazaar to accompany Y Combinator (though the affairs has accustomed other, added internationally-focused startups with India-based founders before).

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While their bazaar befalling is currently in India, ClearTax absitively to accompany Y Combinator because the startup got admission to “a set of assets we don’t get in India,” says architect Archit Gupta.

“We were missing some of the mentorship in India for example. I formed in Silicon Valley before. I was an architect at Abstracts Domain, which was acquired by EMC. So I had apparent how actuality in the Valley is cool useful, so that accomplished affair fabricated it very, actual bright to us that we should appear out here.”

Since it’s currently tax division in India, ClearTax’s nine-member aggregation has breach their time amid California and Delhi. Gupta started ClearTax with his ancestor Raja Ram Gupta, a accountant accountant; Srivatsan Chari; and Ankit Solanki.

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ClearTax wants to aggrandize above India eventually, says co-founder Archit Gupta, but appropriate now there the country presents a fast-growing befalling acknowledgment to the government’s ambition of authoritative all tax filings online by 2016, which agency that 42 actor bodies will be filing their assets taxes electronically in about a year. Furthermore, four actor new taxpayers accompany the workforce every year and the projected bulk of access in the cardinal of e-filers is 9% year over year.

“Twenty actor filed online a brace years ago, 27 actor aftermost year, and I anticipate it will be 30 to 35 actor this year,” says Gupta. “For us, that’s one of the actual key drivers of growth. It’s basically affected by the government adage we appetite aggregate electronic.”

E-filing in India is already six years old and there are several added companies that action online tax services. To differentiate, ClearTax absitively to attending at e-filings as a “software problem,” says Gupta. They additionally created a simple user interface with a hardly aweless accent to abate the apathy of filing taxes.

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“Before we existed, afore ClearTax existed, nobody, I think, had taken a attending at the tax filing artefact like from a software perspective,” says Gupta.

India’s adaptation of the W2 anatomy is alleged Anatomy 16, or F-16. To use ClearTax, all accession needs to do is upload the anatomy assimilate the website. Again ClearTax’s software automatically pulls out accordant data, so users don’t accept to manually key in any numbers or information, and prepares tax forms for anniversary user, a action the startup says can booty as little as 15 minutes.

Gupta says ClearTax’s capital adversary is the government, which has its own online filing software, but that’s complicated to use, abnormally back bodies charge to bulk out which one out of seven tax forms they charge to ample out. ClearTax additionally competes with HR Block, which launched a website in India aftermost year for tax filings, as able-bodied as startups Taxmile.com and Taxspanner.com.

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ClearTax’s aggressive advantage is authoritative the action of filing taxes easier and faster, with beneath accomplish and abeyant headaches for alone users, says Gupta. For example, if accession has a catechism about assertive acreage in their tax form, they can leave it bare and again ask one of the 70 accountant accountants ClearTax works with for help.

While the startup’s business archetypal is B2C, it uses a B2B archetypal to acquisition users by extensive out to ample corporations, which again action ClearTax for chargeless or at a abatement to their employees. These companies currently accommodate the Royal Bank of Scotland, as able-bodied as above startups like InMobi and Flipkart.

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Unless accession gets an agent abatement from their company, self-filing costs amid $4 to $5, while an assisted filing, in which a user gets advice from a certified accessible accountant, costs $10 to $100 depending on the artefact and complication of the tax return.

One of ClearTax’s better growing markets are Indian citizens active in added countries, who accept a account fabricated accurately for their needs that costs $40. Another is ClearTax’s articles for businesses, which are currently targeted against freelancers and baby businesses. Most of ClearTax’s action audience are freelance photographers or assignment in tech-oriented industries, including web architecture and development. ClearTax’s accountants advice them affirmation expenses, which in about-face can access the bulk of their tax return, by allurement them questions with a buzz call.

Gupta says that ClearTax has a “strong affiliation with the government in the faculty that they accord us the APIs and again they are appealing easily off. They don’t get involved, they don’t try to. It’s appealing acceptable a accord with the government, so we absolutely anticipate the government is focused on authoritative things simpler for the country.”

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After 2016, back all tax filings are online if the government’s action goes according to plan, Gupta says ClearTax will alpha alive on software-driven claimed accounts products.

“We don’t aloof appetite to get into affairs off funds or advance instruments. There has to be a bulk accession via software, like WealthFront, the fin-tech aggregation Adam Nash is allowance to body that says it will use software to acquaint bodies how to advance and it will accept a actual baby backpack and aloof be alternate funds. That to me is a abundant added agitative archetypal and it’s a actual new way of thinking.”

In the a future, ClearTax will focus on architecture adaptable software, including accoutrement that will acquiesce bodies to book their assets taxes application alone their phone. Gupta says abundant of ClearTax’s website cartage already comes from bodies browsing on their Android devices.

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“Next year, we will able the cipher in accepting bodies to book on their phones because we can do optical-character recognitions. Once accession uploads a photo of their F16 or emails it to us, it’s absolutely a actual baby bulk of data,” says Gupta. “We see a actual able acceleration in Android cartage on our website and we apperceive it’s actual important for us to be there for our users in that aspect.”

Image by Flickr user Gopal Vijayaraghavan acclimated beneath a Creative Commons 2.0 license

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