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Tax & AccountingFebruary 01, 2023

Overlooked benefits of on-premise tax software

For firms with diverse technology needs, cloud-based tax software may not be the only option. On-premise tax software can provide a flexible solution that leverages modern integration and automation without relying on the cloud. Many stakeholders may be more comfortable with on-premise software, while increased integration opportunities keep the door open for a hybrid cloud approach.  

Overcome unreliable internet speeds

Not everyone has access to consistent, high-speed internet connections. Rural areas may not have high-speed infrastructure, and even suburban and urban offices can struggle with bandwidth and outages. Firms that don’t want to leave their efficiency at the hands of internet service providers may prefer on-premise software that works offline as well as online.

On-premise software eliminates the need for fast internet speeds for staff working in the office. But internet speed isn’t the only factor contributing to the success of an on-premise installation. Of course, firms must still meet minimum system requirements for a file server as well as all workstations. And remote workers or branches will require fast internet for VPN access.

Install updates when it's most convenient

Cloud software can help reduce the maintenance requirements for keeping software up to date, but firms lose some control over when their updates are installed. On-premise software gives firms more control over when to install updates so they can schedule down time for when it’s most convenient. These firms may need additional IT resources to maintain and troubleshoot networks, servers and workstations, but the trade-off may be worth it for some firms.

Keep data inside the firm

Although most cloud software providers follow information security regulations and best practices to keep client and firm data safe, some firms still prefer to avoid solutions that require data to be stored in or moved through the cloud. Firms that can prioritize data security best practices may feel more comfortable housing their data in their own facilities. However, they must still take steps to keep their data secure, including password management, network security maintenance/testing and physical security of the file server.

Take a hybrid approach to integration

Thanks to the increasing popularity of hybrid cloud systems, firms no longer need to choose an all-or-nothing approach to the on-premise or cloud decision. Cloud-based firm management tools like CCH Axcess Workflow can work with any tax compliance system, on-premise or cloud-based. And solutions like CCH Axcess Document offer a hybrid approach, enabling firms to take advantage of some cloud benefits while storing files on-premises if desired.

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For firms that want to manage and maintain internal IT infrastructure, on-premise tax software like CCH ProSystem fx Tax can provide a stable and robust environment for trusted tax preparation and compliance. It is possible to achieve efficient, comprehensive tax compliance with a high-performance, on-premise tax system. Firms should choose a reliable system in the format that makes the most sense for their needs.
Product Marketing Manager, Firm Management

Aimee Hall is a product marketing manager for Wolters Kluwer Tax and Accounting US, focusing on the professional market. In this role, she is responsible for leading go-to-market strategy for firm management products including workflow, practice management, document management, outsourcing and business intelligence products across the CCH ProSystem fx Suite and the CCH Axcess Platform. She joined Wolters Kluwer in 2006 and lives in the Chicago suburbs.

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