Retrotax

What Retrotax does

Retrotax is a privately held, family-owned tax credit administration firm founded in 1996 and headquartered in Indianapolis, Indiana. It locates, prepares, files, and administers federal, state, and municipal tax incentives on behalf of US employers, spanning the Work Opportunity Tax Credit (WOTC, up to $9,600 per eligible employee), Federal Empowerment Zone wage credits, Indian Employment Tax Credits, R&D credits, 179d energy-efficient building deductions, state and municipal incentive programs, cost segregation studies, property tax appeals, and—since 2020—the CARES Act Employee Retention Tax Credit (ERTC). The firm operates an AWS-hosted, API-first SaaS platform (TCID) with token-based authentication, multi-environment endpoints, and three-tier (Client/Company/Location) access controls, exposing RESTful integration alongside Plugin, Webscreen, and Export/Embed options for partners that prefer faster onboarding.

The firm makes money on a contingency basis, earning 25% of the total federal and state tax credits it generates for a client (plus $480 per certification if WOTC payroll is not delivered by October 1 of the tax year), with multi-year contracts structured around prior, current, and future-year credits. Go-to-market is hybrid: an enterprise field-sales motion serves large direct employers (e.g., restaurant chains, retailers, healthcare, staffing, transportation, financial services, construction) while a channel-led motion embeds the API into HRIS and ATS platforms including BambooHR, Namely, JazzHR, PrismHR, Paylocity, UltimateSoftware, WorkBright, Applicant Pro, GoCo, PlanSource, Ahola, and Avionte; tax-services and PEO resellers (Ryan, SWBC, Sheakley, Business Financial Group, Minute Men, Avalara) round out distribution. Retrotax is led by five principals—Alan Newcomb (CEO), Angie Mackey (COO), Cindy Pfost (CIO), Becky Bennett (CFO), and Natalie Commons (CRO)—and operates with an 11–50 employee headcount, holding SOC 2 Type 2 certification.

The platform is positioned as compliance-heavy managed services wrapped in software: Retrotax performs the identification, form preparation, and submission of credits while partners and direct customers feed the underlying employee and location data through the API. No revenue, funding, or M&A activity is disclosed; the firm appears to be founder/family-financed and continues to operate at its Indianapolis headquarters.

Name

Retrotax

Legal name

RetroTax

Website

https://retrotax-aci.com

Company type

Private

Founded year

1996

Operating status

Operating

Headcount range

11–50 employees

Ownership category

akta.pro rank

Product category

Tax Credit Administration Services

NAICS

Employment Services (5613), Employment Placement Agencies (561311), Business Support Services (5614)

SIC

Services-Employment Agencies (7361), Services-Computer Programming, Data Processing, Etc. (7370)

akta.pro primary industry

Payroll Tax Filing, Compliance & Remittance (BPACAIAC)

akta.pro secondary industries

Benefits Administration & Enrollment Support (BPAAAIAB), Workforce Compliance & Employment Law Risk Management (Local Labor Law, Tax, Statutory) (BPACAHAH)

Keywords

• Tax credit administration
• WOTC screening services
• Federal employment tax credits
• HRIS tax integrations
• Employer tax incentive programs

Headquarters

HQ city

Indianapolis

HQ country

United States

HQ region

North America

Offices1 record

Markets served

GTM type

B2B

Offering type

Services

Cost components

Personnel, Operations, Technology or R&D, Marketing or Sales, Others

Revenue model

1. Tax Credit Administration Fee: RetroTax earns a contingency fee equal to 25% of the total federal and state tax credits generated through their services, regardless of whether the credits are utilized for prior, current, or future years. Additional processing fees apply for certifications when payroll data is not provided by October 1st of the tax year.

Pricing tiers

Go-to-market motion3 records

Distribution channels5 records

Marketing channels4 records

Core offering

RetroTax administers federal, state, and local tax credit and incentive programs for employers, including the Work Opportunity Tax Credit (WOTC), Federal Empowerment Zone Wage Credit, R&D credits, 179d energy-efficient building deductions, Indian Employment Tax Credit, state and municipal incentives, cost segregation studies, and property tax appeals. The company identifies eligible incentives, prepares and submits required forms, and provides integration pathways (API, Plugin, Webscreen, Export) that allow HRIS partners and employers to embed screening directly into hiring workflows. Services are delivered under a contingency-fee model equal to 25% of the federal and state tax credits generated.

Product overview

RetroTax is a tax credit administration platform offering a unified product focused on identifying and administering tax incentives for businesses. The core offering includes screening for Work Opportunity Tax Credits (WOTC), Federal Empowerment Zone credits, R&D tax credits, 179d deductions, state and municipal incentives, Indian Employment Tax Credits, cost segregation studies, and property tax appeals. The platform provides multiple integration methods: full API Integration for enterprise HRIS partners, Plugin for website embedding, Webscreen for direct linking, and Export for HRIS form embedding. A recent addition includes CARES Act Retention Credit screening for COVID-19 affected businesses.

Differentiator

Problem solved

Functional benefit

Products and services

• Work Opportunity Tax Credit (WOTC) Screening Federal income tax credit screening service for employers that hire individuals from targeted groups (veterans, ex-felons, recipients of public assistance, residents of empowerment zones, and other qualifying demographics), providing up to $9,600 per eligible employee.
• Federal Empowerment Zone (FEZ) Wage Credit Federal income tax credit of up to $3,000 per employee per year for businesses operating in designated distressed communities, intended to revitalize economies of qualifying empowerment zones.
• R&D Tax Credit Screening Research and development credit identification service for companies that develop new or improved products, processes, or software, covering four categories of qualifying expenses.
• 179d Energy-Efficient Building Deductions Tax deduction identification for commercial property owners or lessees making energy-efficient improvements to buildings.
• State and Municipal Incentive Programs State-based tax incentive identification and administration focused on attracting new business or enhancing existing companies to spur growth.
• Indian Employment Tax Credit Screening

Quantifiable outcome

• Up to $9,600 per eligible employee in federal income tax credits through WOTC program
• +3 more outcomes

Named customers16 records

Segments2 records

Ideal customer profiles2 records

Technology focussed Yes

API detail

Has API

Yes

API docs

API detail

Core technology

AI maturity

App detail

Integration14 records

AI capability1 record

Feature4 records

Partnerships

Twelve partnerships are on record, tiered core and minor.

• BambooHRcoreTechnology or IntegrationHRIS integration partner allowing BambooHR customers to access RetroTax's WOTC and tax credit screening directly within their HR platform.
• NamelycoreTechnology or IntegrationNative integration with Namely's HR platform, enabling seamless authentication and tax credit screening workflow for Namely clients.
• JazzHRcoreChannel Partner/ Reseller/ DistributorReferral partnership channel directing JazzHR customers to RetroTax for tax credit screening services.
• PrismHRcoreTechnology or IntegrationHRIS platform integration enabling PEO clients of PrismHR to access RetroTax's tax credit administration services.
• PaylocitycoreTechnology or IntegrationIntegration with Paylocity's payroll and HR platform for tax credit screening capabilities.
• UltimateSoftwarecoreTechnology or IntegrationIntegration with UltimateSoftware's HR and payroll platform for WOTC screening.
• SheakleyminorChannel Partner/ Reseller/ DistributorPEO and HR services partner offering RetroTax tax credit administration to their client base.
• Business Financial GroupminorChannel Partner/ Reseller/ DistributorFinancial services partner referring clients for tax credit services.
• RyanminorChannel Partner/ Reseller/ DistributorTax services firm partner offering RetroTax services to their corporate tax clients.
• SWBCminorChannel Partner/ Reseller/ DistributorFinancial services partner providing tax credit services to their banking and lending clients.
• Minute MenminorChannel Partner/ Reseller/ DistributorHR services partner offering RetroTax to their small business client base.
• VantacoreImplementation/ SI/ Consulting PartnerSecurity and compliance automation platform partner helping RetroTax achieve and maintain SOC 2 compliance. Partnership announced January 2020.

Scale indicators2 records

Recent moves6 records

Expansion highlights5 records

Broad incumbents

• CBIZ: Large national accounting and tax advisory firm that offers WOTC and tax credit screening services as part of its broader tax practice, competing with RetroTax on employer-side workforce credit claims.
• Ryan LLC: Global tax services and software firm offering tax credit services (including WOTC/employment credits) to enterprise clients, overlapping with RetroTax's employer customer base.
• ADP: Large payroll and HR services provider whose scale and existing employer relationships position it as a potential in-houser of WOTC/credit screening and an indirect competitor.
• Paychex: Payroll/HR incumbent serving SMB and mid-market employers; competes with RetroTax both as a potential referral partner and a possible in-house WOTC provider.
• Avalara: Tax compliance technology platform (and listed RetroTax partner), with overlapping footprint in employer tax compliance and incentive areas; potential competitor if it expands into credits/screening.
• Ernst & Young (EY) Tax Credits & Incentives: Big Four advisory practice with a credits & incentives group that administers R&D, WOTC, and state hiring credits for large employers, overlapping at the enterprise end of RetroTax's customer base.
• BDO USA: Mid-tier accounting/advisory firm with dedicated credits & incentives services (including WOTC) targeting employers that overlap with RetroTax's mid-market customer segment.

Direct peers

• Tax Credit Co. (TCC): Specialized WOTC screening and tax credit administration firm serving employers via HRIS integrations; closest direct competitor with similar contingency-fee model and target verticals.
• Corporate Tax Credit (CTC): WOTC-focused administrator offering screening, certification and filing to employers across multiple industries; competes head-to-head with RetroTax for employer contract wins.

Regional players

• Jackson Hewitt: Tax preparation franchise network that historically promoted WOTC/Earned Income credits to small businesses and individuals, representing a smaller-scale adjacent competitor in the small-business hiring credit space.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat4 records

Key risks6 records

Key highlights6 records

Customer concentration

• GitHubgithub.com/retrotax
• Xx.com/retro_tax

Compliance1 record

Revenue estimate

Valuation estimate

Number of profiles

Profiles5 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Retrotax