Despite SAP Delays, the Time to Get Tax Right is Now

Pawel Smolarkiewicz
February 5, 2020

With today’s announcement that SAP is extending support for its Business Suite 7 software suite until the end of 2027 many are breathing a sigh of relief. But are they falling victim to a false sense of security?

While SAP adjusted its timeline, largely due to increasing customer pressure, know that governments have no such plans to alter their course of action and will not yield on integrating new regulatory standards for businesses to comply with.

Despite the respite provided by SAP today, the pace of global regulatory change towards continuous controls and digitization continues to accelerate. Most businesses, without the protection that the Sovos compliance solution affords them, will struggle to meet these rapidly changing standards and remain compliant.

Sovos solutions are designed and certified to work with multiple generations of SAP ERP solutions including ECC and S/4HANA. They are available to help customers solve their tax and regulatory issues both today and in the future. So, no matter what platform you are operating on, we are already here to help.

Migrating to a new platform is hard. SAP understands this better than anyone. As Co-CEO Christian Klein said today, ““We know that our customers have deep business transformations underway… SAP will provide additional flexibility to fully embrace the groundbreaking opportunities of SAP S/4HANA that reflects the individual pace and complexity of our customers’ projects.”

Translation, this is a long and complicated process. Companies will need every day of this extension to fully integrate with and launch the new platform. My advice? Don’t wait to get your tax and regulatory issues settled. No matter which course of action SAP decides, governments have made their position clear and they are full steam ahead with enforcement.

We still believe strongly that the future direction for most companies includes the move to S/4HANA. Sovos remains fully committed to solving tax for good and helping customers be successful with their multi-year digital transformation plans.

Sign up for Email Updates

Stay up to date with the latest tax and compliance updates that may impact your business.

Author

Pawel Smolarkiewicz

As chief product officer, Pawel Smolarkiewicz enables businesses to thrive by designing and delivering flexible SaaS solutions for the rapidly evolving global tax and regulatory environment.
Share This Post

Brazil VAT & Fiscal Reporting
March 3, 2021
Sovos Strengthens Complete, Connected Tax Compliance in Brazil with Latest Acquisition

For businesses headquartered or operating in Brazil, the constantly shifting Nota Fiscal compliance regulations are a well-known pain point. The Sistema Público de Escrituração Digital (SPED) reporting rules debuted in 2008 to digitize paper invoices and records, and the rules continue to change frequently, creating complexity and risk. These difficulties are deepened for businesses that […]

North America Sales & Use Tax
March 4, 2021
Switching vs. suffering: Sales and use tax pain is avoidable

As one of the more complicated administrative aspects of a retail business, sales and use tax filing processes are ripe for re-evaluation. Begin by asking yourself questions such as: Does my current solution do enough to make my life simpler? Do I get more out of it than I am putting in? More in the […]

North America Sales & Use Tax
March 4, 2021
How Marjam Building Supply solved sales and use tax

Almost two decades ago when Bruce Respler joined Marjam Building Supply, one of the largest distributors of building materials on the East Coast, he was in charge of calculating and filing sales taxes manually. The company, which now owns 40 lumberyards, was only selling into a few states at the time. But even then, the […]

EMEA VAT & Fiscal Reporting
March 3, 2021
UK’s Making Tax Digital – 1 April Brings End to Soft Landing Period

Since April 2019, the UK has required the submission of VAT returns and the storage of VAT records to be completed in accordance with the requirements of its Making Tax Digital (MTD) regulations. One of these requirements is that data transfer between software programs be achieved through ‘digital links.’ This requirement was initially waived during […]

EMEA VAT & Fiscal Reporting
March 2, 2021
OSS and the EU E-Commerce Package: What you need to know about the upcoming changes

The e-commerce package is due to be introduced on 1 July 2021 having previously been delayed from 1 January 2021 due to the COVID-19 pandemic. COVID-19 is far from resolved with many Member States still suffering significantly with wide-ranging restrictions in place in many countries. Regardless, the European Commission’s current plan is to press ahead […]