At a time when the global VAT landscape is undergoing significant change, we teamed up with Shared Services Link to understand more about the key challenges faced by AP and VAT professionals at multinational companies and what their focus is for 2021 and beyond.
What remains clear is that pace of digital change is increasing faster than ever as more countries enforce more granular and quicker response tax controls to close VAT gaps and boost economic efficiency. Indirect tax teams can no longer work in silos: a complete compliance approach requires buy-in, cooperation and close ongoing collaboration from IT, finance and tax professionals to be truly successful.
- Top priority: Automating and leveraging technology for compliance
- Top challenge: for next 5-10 years: balancing corporate and tax authorities’ digital transformations
- 73% of respondents are worried about keeping up with the changing tax landscape
- Increasing reliance on solution vendors for compliance of e-invoicing AP transactions
To find out more, download our infographic for the key insights and recommendations.
Having robust compliance and business transaction automation in place now will prepare you for a smoother digital transformation and help you meet the growing wave of compliance requirements being introduced by governments around the world in their mission to prevent fraud and close VAT gaps. Here are our four top tips to help you prepare.
Four top tips for VAT compliance professionals
- Take a holistic approach rather than adopting local solutions. Apart from being inefficient, local point solutions will hinder global systems and your company’s digital transformation.
- Prepare for the inevitable shift to continuous transaction controls by automating indirect tax compliance processes now.
- Bring better data into your system with the right tools to reduce manual processes and avoid the operational challenges of real-time invoice rejection by tax administration platforms.
- Take an active approach with collaboration between tax, IT and finance teams to meet the complex requirements of an ever changing tax landscape.