Madrid-based fintech TaxDown has raised €4M in a funding round led by Bonsai Partners. The capital will be used to strengthen the company’s artificial intelligence capabilities and build out its strategy to improve the tax experience of individuals and businesses in Spain and Latin America.
This latest round also sees the continued backing of existing investors Base10, JME Ventures, and 4Founders. The investment comes at a time when profitability and efficiency have become top priorities for consumer-focused platforms operating at scale.
“We don't believe in mega-rounds as a synonym for success. Our model shows that you can operate efficiently, scale with AI and achieve profitability without being forced to raise hundreds of millions,” said Enrique García, CEO and co-founder of TaxDown.
Founded in 2019, TaxDown has emerged as a leading digital platform for personal income tax filing in Spain and more recently, Mexico. Its core value proposition lies in combining a proprietary AI-driven tax engine with a team of over 200 tax experts. The system simulates millions of tax returns and automatically applies all relevant deductions.
“Artificial intelligence is allowing us to continue growing fast, and for our operations to scale without increasing costs. We process millions of pieces of data with a level of personalisation that was previously unthinkable,” García added. “AI doesn't replace the expert, but it does give them superpowers.”
The company's approach highlights a broader trend in fintech and productivity startups, where AI is not simply layered on top of existing processes but integrated deeply into core operations. For TaxDown, this means AI tools that assist tax advisors with document filtering, error detection, communications automation, and legal updates.
The company emphasises operational efficiency, product-led growth, and a lean capital structure. Bonsai Partners are known for backing successful Spanish digital consumer companies including Wallapop, Idealista, and Glovo.
“We are excited to be investing at a crucial moment, just as the service is gaining traction in Spain and Mexico, with AI improving the efficiency of the company,” said Javier Cebrián, General Partner at Bonsai Partners.
With the new funding, TaxDown plans to enhance its AI team, introduce a virtual advisor to further personalise the user experience, and maintain its existing team structure without dilution. TaxDown has partnerships with major financial institutions including Santander and Revolut, giving millions of users direct access to its tax services via banking apps.
International expansion has begun with a successful rollout in Mexico, where the platform has grown fivefold over the past year and now serves over 1.5 million users. The company plans to continue expanding into other Latin American markets where tax filing remains a burdensome and often opaque process for individuals.
“The rate of adoption in Mexico has exceeded our expectations,” said García. “Now we want to continue growing in Latin America, bringing this technology to millions of people who currently have no access to simple and reliable tools for filing their taxes.”
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