Preferred Long Distance calls on Avalara to manage tax complexity

Preferred Long Distance (PLD) was established in 1995, making it one of the oldest telecommunications carrier resellers in the business. PLD offers long-distance, voice over IP (VoIP), and advanced wireless technology to small businesses that require enterprise-grade features and functions.

With customers from Florida to California, PLD is obligated to collect a multitude of taxes, surcharges, and fees at the federal, state, and local levels. “Each jurisdiction has its own complex tax computations,” says CEO Jerry Nussbaum. Disparate filing deadlines add to the complexity. Jerry explains, “Some are monthly, some are quarterly, some are semiannual … it’s a lot to keep up with.”

This combination of tax transaction volume and complexity creates a huge burden for PLD. As a former certified public accountant, Jerry knew when he founded PLD he didn’t want to carry that burden himself. “I wanted to behave like a telecommunications company, not like an accounting firm,” he says. 

“We found that Avalara has the ability to keep up with all those changes,” says Jerry. “We’ve used them right from the very beginning.” Avalara AvaTax for Communications helps PLD calculate the morass of taxes, fees, and surcharges, while Avalara Returns for Communications ensures that PLD’s filings are highly accurate and timely — to the tune of about 1,000 returns per month. 

“The efficiency is excellent,” says Jerry. “They do all the returns, mail out the checks, reconcile the bank account, answer any questions that arise from the taxing authorities — all that is taken off our plate, so we can devote our time to serving our customers.”