We architect and deploy custom smart contracts that form the immutable business logic of your application. Our development process is built on security-first principles, utilizing OpenZeppelin libraries, comprehensive testing, and formal verification to mitigate risk.
LABS
Services
DAO Treasury Disbursement Tax Compliance Suite
A comprehensive suite of smart contracts and tools that automate tax withholding, reporting, and IRS form generation (e.g., 1099-MISC, 1099-NEC) for DAO treasury payments to US-based contributors and grant recipients.
Chainscore © 2026
overview
CORE SERVICE
Smart Contract Development
Secure, production-ready smart contracts built by Web3-native engineers.
- Custom Logic: Tailored
Solidity/Rustcontracts for DeFi, NFTs, DAOs, and enterprise use cases. - Full Audit Trail: Development includes unit/integration testing, gas optimization reports, and preparation for third-party audits.
- Deployment & Management: We handle deployment to mainnet/testnets and provide upgrade pattern guidance for
Proxycontracts.
Deliver a secure, auditable foundation for your product in as little as 4-6 weeks, from spec to mainnet-ready code.
key-features-cards
AUTOMATED, AUDIT-READY INFRASTRUCTURE
Core Components of the Compliance Suite
Our modular suite provides the foundational infrastructure for DAOs to automate tax compliance, generate real-time reports, and maintain a verifiable audit trail for all treasury disbursements.
01
On-Chain Transaction Categorization Engine
Automatically tags every treasury transaction (grants, payroll, vendor payments) with the correct tax treatment using AI-powered heuristics and rule-based logic. Eliminates manual classification errors and ensures consistent application of your DAO's governance policies.
99.5%
Classification Accuracy
< 1 sec
Real-Time Processing
02
Multi-Jurisdiction Tax Calculation Module
Dynamically calculates tax liabilities (income, VAT/GST, withholding) based on recipient location, payment type, and token value at settlement. Supports over 100 jurisdictions with continuously updated rule-sets, ensuring global compliance.
100+
Jurisdictions Supported
24h
Rule Updates
03
Immutable Audit Trail & Reporting
Generates cryptographically signed, time-stamped reports for every fiscal period. Exports ready-to-file forms (1099, W-8BEN equivalents) and provides a permanent, on-chain ledger for auditors and regulatory reviews.
FIPS 140-2
Compliant Logging
One-Click
Report Generation
04
Smart Contract Payroll & Withholding
Deploy programmable payroll streams with automated tax withholding directly in stablecoins or native tokens. Funds are escrowed and released per vesting schedules, with liabilities calculated and reported upon each disbursement event.
ERC-20 / 4626
Token Standards
0 Manual Entry
Payroll Process
06
Integration Hub for DAO Tools
Pre-built, secure connectors for Snapshot, Safe{Wallet}, Aragon, and leading accounting software (QuickBooks, Xero). Synchronizes proposal data, multisig approvals, and final settlements into a single compliance workflow.
10+
Native Integrations
API-First
Architecture
benefits
AUTOMATED COMPLIANCE
Reduce Legal Risk and Administrative Overhead
Our suite automates the most complex tax and regulatory workflows, turning months of manual work into a secure, auditable process. We handle the compliance burden so your team can focus on building.
02
Jurisdiction-Specific Tax Logic
Our system embeds tax residency rules and treaty rates for over 100 jurisdictions. It automatically applies the correct withholding rates based on member-provided documentation (W-8BEN, W-8BEN-E).
100+
Jurisdictions
Real-time
Rate Application
03
Immutable Audit Trail
Every disbursement, tax calculation, and form generation is immutably logged on-chain. This provides a single source of truth for auditors, regulators, and internal governance reviews.
Tamper-Proof
Record Keeping
Instant
Audit Retrieval
04
Legal Entity Abstraction
We manage the complex mapping between your DAO's on-chain treasury and its legal wrapper (LLC, Foundation). This ensures all payments are correctly attributed for liability and tax purposes.
Seamless
On/Off-Chain Sync
Reduced
Fiduciary Risk
A Cost-Benefit Analysis for Technical Leaders
Build vs. Buy: Managing DAO Tax Compliance
Compare the total cost, risk, and resource commitment of developing a custom tax compliance system versus implementing Chainscore's proven suite.
| Key Factor | Build In-House | Chainscore Suite |
|---|---|---|
Time to Initial Deployment | 6-12 months | 4-8 weeks |
Upfront Development Cost | $250K - $600K+ | $50K - $150K |
Annual Maintenance & Updates | $100K - $200K (2-3 FTE) | $25K - $75K (SLA) |
Security & Audit Overhead | High (Unaudited Code Risk) | Low (Pre-Audited, Battle-Tested) |
Jurisdictional Coverage (US, EU, APAC) | Requires Continuous Legal Research | Built-in, Continuously Updated |
Form 1099, 1042-S, DAC7 Generation | Manual Process or Custom Build | Automated, On-Chain Verified |
Integration with Gnosis Safe, DAO Tools | Custom API Development | Pre-Built Connectors & SDK |
Team Expertise Required | Solidity Devs, Tax Lawyers, Accountants | Your Core Team + Our Specialists |
Total Year 1 Cost (Est.) | $350K - $800K+ | $75K - $225K |
how-we-deliver
PREDICTABLE DELIVERY
Our Implementation Process
A structured, four-phase engagement designed for technical leaders. We deliver a production-ready, audited compliance suite integrated with your treasury in 6-8 weeks.
01
Discovery & Architecture
We conduct a technical deep-dive on your treasury's smart contracts, tokenomics, and governance flow. Deliverables include a detailed architecture spec and integration roadmap.
Key Activities:
- Smart contract and governance module audit
- Tax jurisdiction mapping (US, EU, APAC)
- Gas optimization analysis
1-2 weeks
Duration
100%
Architecture Sign-off
02
Smart Contract Development
Our team builds and unit-tests the core compliance modules: automated withholding logic, multi-jurisdiction rule engine, and secure disbursement handlers.
Key Deliverables:
- Custom Solidity compliance contracts
- Comprehensive unit test suite
- Initial gas report and optimization
3-4 weeks
Duration
OpenZeppelin
Security Standard
03
Security Audit & Testing
Every line of code undergoes rigorous internal review followed by a formal audit from our partner security firm. We simulate attack vectors and edge cases in a staging environment.
Key Deliverables:
- Internal security review report
- Third-party audit completion certificate
- Staging environment deployment
2 weeks
Duration
CertiK
Audit Partner
04
Deployment & Integration
We manage the mainnet deployment, configure the admin dashboard, and integrate the suite with your existing DAO tools (Snapshot, Tally, Safe). Your team receives full documentation and hands-on training.
Key Deliverables:
- Production deployment on mainnet
- Admin dashboard setup
- Technical documentation & training
1 week
Duration
24/7
Go-Live Support
Technical & Operational FAQs
DAO Tax Compliance: Common Questions
Get clear, actionable answers to the most frequent questions from DAO operators and founders about implementing compliant treasury disbursements.
Our suite is designed as a modular API-first service that integrates seamlessly with your existing treasury management stack. We connect directly to Snapshot, Safe, and popular DAO frameworks via secure APIs. The system ingests proposal and payment data, applies our tax logic engine, and outputs compliant transaction batches ready for execution, all without disrupting your current governance workflows.
ENQUIRY
Get In Touch
today.
Our experts will offer a free quote and a 30min call to discuss your project.
NDA Protected
Confidentiality24h Response
Time to ValueDirectly to Engineering Team
No Sales Fluff10+
Protocols Shipped
$20M+
TVL Overall