First Data Corp. has agreed to sell its tax software business so it can concentrate more on its core transaction processing operations.
The Denver company said Tuesday that Automatic Data Processing Inc., a Roseland, N.J., business software company, would buy Taxware LP for $125 million in cash.
Taxware, part of First Data's government solutions unit, sells commercial tax compliance software.
First Data owns 75% of the government solutions unit; the remainder is owned by iFormation Group, a New York venture capital company.
David Treinen, a First Data executive vice president, said in a press release that the sale, which is expected to close by yearend, would help his company "continue to focus on its core strengths in transaction and payment processing for merchants and financial institutions."
