ClearTax, the online tax-filing and investment startup, raised $50 million in a Series B funding round led by the Hong Kong-based investor, Composite Capital. The company had earlier raised $12 million in a funding round led by SAIF Partners with a seed fund of $2 million.
ClearTax is owned by Defmacro Software Pvt. Ltd. and provides a platform for individuals and chartered accountancy firms to file taxes online. Also, it offers an e-way bill software, a GST software, business incorporation solutions, and compliance services for enterprises.
The company has said that it will use the fresh investment to bring in more businesses and consumers which will gradually lead to growth, further improve their engineering infrastructure, and work on the sales and marketing of the platform.
According to the company, 2.5 million people use their services and they aim to bring up the number of users to 4 million by the end of the financial year. In respect of the GST service alone, more than 1 lakh business entities and 25,000 chartered accountant firms use the facility ever since the scheme was started.
The company has introduced new facilities this year that allow users to make investments in mutual funds through the many AMCs it has tied up with. The Bengaluru-based platform is also looking to offer gold as an investment option and increase risk exposure while offering liquid fund investment options.
ClearTax is backed by Silicon Valley investors – Scott Bannister and Cyan Bannister, co-founder of PayPal, Max Levchin, Business Head of Whatsapp, Neeraj Arora, and founder of AngelList, Naval Ravikant.