Thomson Reuters has wrapped up the previously announced $500m acquisition of SurePrep, a US-based provider of 1040 tax automation software and services.

The all-cash deal was announced in November 2022.

The acquisition is part of the Canadian media group’s strategy of seeking organic as well as inorganic growth opportunities as it promotes seamless, cloud-based professional workflows with digital solutions and open, smart, and connected platforms.

Established in 2002, SurePrep assists accounting companies in boosting productivity and profitability.

By utilising artificial intelligence (AI), the tax automation software and services provider automates the collection of digital documents directly from clients and their subsequent processing.

The company’s products and solutions, including SPbinder, 1040SCAN, and TaxCaddy, are claimed to be used by more than 23,000 tax professionals at certified public accountant (CPA) firms, wealth management firms, and others.

Following the acquisition, SurePrep will now become a part of Thomson Reuters’ tax and accounting professionals operations.

The California-based firm is anticipated to earn nearly $60m of revenue in 2022 and grow in excess of 20% per year in the coming years.

Thomson Reuters tax and accounting professionals president Elizabeth Beastrom said: “We are wholly focused on helping tax professionals be more productive by providing them with the tools they need for success.

“SurePrep helps customers save both time and costs as they face difficult economic conditions, as well as greater legislative complexity.

“We are eager to unlock SurePrep’s true potential across our Tax and Accounting customers as we provide an open, integrated platform. Thomson Reuters will continue existing product integrations, with plans to develop further support for a connected tax ecosystem.”