AI Tax Startup Fonoa Raises $110M, Buys PwC Tax Platform

Jan de Vries · 2026-05-29

Fonoa, a Dublin-based company that uses artificial intelligence to handle taxes for global businesses, just made a huge move. It raised $110 million in Series C funding and bought PwC's Indirect Tax Edge platform. That's a big deal for anyone who deals with international tax compliance. ### The Funding Details The round was led by Headline. New investors Eurazeo and Forestay Capital joined in, along with existing backers like Index Ventures, OMERS, Coatue, and Dawn Capital. That's a lot of big names betting on this company.  ### Why This Matters Tax systems have been stuck in the past for way too long. Davor Tremac, CEO and co-founder of Fonoa, put it perfectly: "While technology has transformed much of finance, tax systems have remained neglected, leaving accounting teams to manage the same fragmented stack for decades." Think about it. Companies like Uber or Netflix operate in dozens of countries. Each one has different tax rules. Old systems just can't keep up. Fonoa built something that can. ### What Fonoa Does Fonoa started in 2019. Three former Uber employees - Davor Tremac, Filip Sturman, and Ivan Ivankovi - founded it. They wanted to solve the nightmare of handling taxes across multiple countries. The platform handles the entire indirect tax lifecycle: - Tax ID validation - Real-time tax determination - E-invoicing - Return filing All of this runs on one shared data model. One audit trail. Everything connects. The company says its agents can monitor obligations, populate returns, catch anomalies, and assemble audit packs in seconds. That's a huge time saver. ### Impressive Numbers Fonoa supports tax determination in over 190 jurisdictions. It validates tax IDs in more than 100 countries. It powers e-invoicing for millions of sellers. And it processes over a billion transactions every year. Big names trust them too. Canva, Uber, Netflix, Nebius, and Booking.com all use Fonoa. That's serious validation. ### The Edge Acquisition Edge is PwC's indirect tax compliance system. It handles VAT and GST reporting, e-filing, data management, and tax analytics. Big global companies use it. Here's the problem Fonoa is solving: Most companies use different systems for upstream tasks like tax determination and e-invoicing, and downstream tasks like compliance reporting and filing. That's messy and inefficient. Now Fonoa and Edge together cover the whole thing. One data model. From tax ID validation all the way to return submission. No more jumping between systems. ### What This Means for Customers Peter Michalowski from PwC explained it well: "Fonoa is perfectly placed to provide the dedicated expertise, focus, and investment needed to build and scale the Edge platform." Fonoa plans to invest heavily in Edge. They'll add more AI capabilities and expand engineering. And PwC will keep delivering tax expertise and managed services using the platform. Everyone wins. ### The Big Picture This isn't just another funding round. It's a signal that tax technology is finally getting the attention it deserves. For years, tax teams have been stuck with spreadsheets and disconnected tools. Now we're seeing a complete, AI-powered system that actually works. If you're running a global business, this is worth watching. Fonoa is building the infrastructure that will make cross-border tax compliance feel almost easy. And that's something every finance team dreams about.