The Role of IT in the Face of New Regulations and Mandates

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As global regulations and mandates evolve at an increasingly fast pace, IT is now an important piece to the puzzle of meeting those standards. But what exactly does IT need to do? Why can tax no longer be an afterthought?  

KPMG and Sovos experts met to review how businesses and IT need to approach the urgency and complexity of governments moving to close the tax gap. Read the key points of their discussion now.  

The push for tighter regulatory controls and more comprehensive mandates is expanding across all parts of the globe. For multinationals, this is especially important as the number of different compliance obligations required to operate is accelerating, and the timelines required to meet them are becoming tighter. 

Tax is now an always on function, not an afterthought. This means that data quality becomes an operational imperative – whereas in the legacy world of slow-moving periodic summary reports, many smaller errors or inaccuracies in invoices would go unnoticed. Due to their urgency and complexity, meeting the data requirements of new standards and mandates has become the domain of IT.

An organizational strategy that considers all aspects of regulatory compliance, ranging from internal planning for cross functional support, operational impact, resources and technology is critical in building a sustainable program that builds upon past successes while accounting for new mandates and challenges.

Don’t embark on this journey alone. There are a multitude of resources and expertise that can help you with every element of building a successful regulatory compliance program for your business. Focus on your own areas of expertise and bring in partners who are experts in all things compliance. 

Learn more about the Sovos and KPMG partnership


50 Unusual Tax Laws


50 Unusual Tax Laws

Who says that tax laws are boring? Each year, thousands of tax regulations are enacted, amended or taken off the books. Attempting to stay up to date on these changes can be stressful and doesn’t leave much time to appreciate the more peculiar examples.  

From taxes on beards to ice cream exceptions, get ready to be amazed by just how fascinating the world of taxes can be. In this eBook, Sovos’ regulatory experts rank the 50 strangest, quirkiest and weirdest tax facts that will leave you scratching your head.  

Download your complimentary copy to learn the tax implications of: 

  • Turning 100 in New Mexico
  • Buying a bicycle in Colorado Springs
  • Opting for fountain instead of bottled soda in Chicago
  • And so much more. 

Download now

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The Definitive Guide to Incorporating Sales Tax on Your S/4HANA Journey


Accounting for Sales Tax with SAP S4/HANA

Migrating to SAP S/4HANA can be a complicated process for your organization, but it also represents a tremendous opportunity to update and align your tax strategy to meet the challenges and needs of modern sales tax. The process of migrating enables better business flexibility, allowing organizations to adapt rapidly to changing business conditions. It can also provide real-time visibility into business operations, including a company’s tax strategy.

This eBook will take you through all things tax when it comes to your SAP S/4HANA migration and strategies you can implement to reduce the pressure on your finance and IT teams.

Download this eBook for more information on: 

  • The importance of migrating to the cloud for modern organizations
  • Integrating tax in your SAP S/4HANA migration journey
  • Using your S/4HANA migration plans to simplify tax 

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Sovos Unclaimed Property Newsletter: The UPdate


Your Trusted Resource In Unclaimed Property

Stay up to date on what is happening in the unclaimed property space with Sovos’ unclaimed property newsletter, the UPdate. Relevant unclaimed property news and insights are discussed, including compliance insights and articles from subject matter experts.

Sovos research found that there is nearly $77 billion in unclaimed assets. Businesses in various industries need to understand the basics to keep themselves compliant, especially as regulations and reporting requirements evolve. That’s why we created a newsletter to keep you informed.

This Winter 2024 issue includes articles on:

  • Changes Impacting Delaware’s Compliance Landscape
  • Changes to Nevada Unclaimed Property Law
  • Understanding the Pre-Presumption Outreach Requirements
  • What was Old is New Again – Insurance Unclaimed Property Audits 2.0
  • A Look Back at Fall Unclaimed Property Reporting
  • Disney/Dine Litigation Update
  • How Compliance is Trending in 2024

Always be informed with the Sovos UPdate. 

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What Is VAT in the Digital Age (ViDA)

and How Does it Impact My Business?

What Is VAT in the Digital Age (ViDA)?

In this eBook

  • What is ViDA? 
  • Data and the technology impact 
  • How and when is ViDA likely to impact my business? 
  • Where do businesses go from here?

The EU Commission has proposed the VAT in the Digital Age plan for fair and simple taxation. It emphasizes how tax authorities can use technology to fight tax fraud and benefit businesses while evaluating whether current VAT rules are appropriate for business in the digital age.

To help you keep pace with all of the rule changes being proposed and evaluated, Sovos has put together this eBook in conjunction with our regulatory experts. Inside you will learn about the key elements of ViDA, why it’s being proposed and its potential impacts on your business.

This VAT in the Digital Age eBook includes a deeper dive into the technology implications of ViDA and why technology is front and center of the discussion. It also includes a Q&A with world renowned regulatory expert, Christiaan van der Valk who breaks down some of the most frequently asked questions to date. 

This eBook is intended to provide you with a high-level overview of all things ViDA. As new developments become available, Sovos will be providing new content and analysis, so please bookmark our content library and check back frequently for updates. 

In the meantime, should you have any questions regarding ViDA and your businesses ability to adapt and manage any part of this program, don’t hesitate to contact us and speak with one of our regulatory experts or visit our regulary updated guide for VAT in the Digital Age.

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Is It Time to Rethink Your E-Invoicing Strategy with SAP?


I’m an SAP user who needs a solution for e-invoicing. What are my options?

When it comes to implementing an e-invoicing solution, SAP customers are basically confronted with two options: build your own tools on SAP architecture or select an end-to-end provider.

These are two distinct approaches with very different paths towards your end goal.

Which is best for your business? This eBook explores the different paths available to you and the key considerations for each.

Issues covered and to be considered include:

  • Total Cost of Ownership (TCO)
  • What’s involved with the do it yourself (DIY) approach
  • The importance of getting e-invoicing right
  • Consequences of getting it wrong
  • What technology is available and how does it help?

No two businesses are exactly the same. Each has its own unique needs and access to different resources.

For SAP users it’s a big decision with the potential to have far-reaching impact across the business operation.

This guide is intended to provide you with the complete picture and overview of your options as you work to solve your e-invoicing dilemma.

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Month-by-month checklist

Tax Information Reporting: A Year-Round Process

Many organizations tend to concentrate on tax information reporting in the beginning of the calendar year to meet filing deadlines. However, splitting these tasks up into parts of a year-round process minimizes risk of error and ensures that your organization experiences a smooth reporting experience when filing deadlines approach. 

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VAT Digitization in Eastern Europe

A Quick Guide to E-invoicing and Real-Time Reporting Tax regulations in Eastern European countries are complex but that shouldn’t be a reason not to do business there. If you’re responsible for VAT compliance, this ebook provides key details of the varying VAT digitisation mandates and business requirements across the region:
  • Understand how to comply with the e-invoicing and reporting in Eastern Europe
  • Deep dives into Hungary, Poland, Romania, Serbia and Slovakia
  • Must-read for tax professionals and consultants

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Who should read this ebook?

Tax professional

  • Need to be up to date with Eastern European regulations
  • Understand system requirements for real-time reporting and e-invoicing
  • Prepare and future-proof for upcoming tax digitization


  • Ensure best practices for clients
  • Keep up to date with latest regulations and developments
  • Confidently navigate the tax landscape to help clients with planning

Written by tax experts and regulatory specialists

Tax administrations continue to insert themselves into the invoicing process or demand detailed records within a matter of hours or days of transactions. Many have introduced continuous transaction controls (CTCs)and are seeing the benefits of closing their country’s VAT gap and gaining granular, real-time or near real-time insight. Eastern Europe is part of this trend, moving forward rapidly with real-time reporting and e-invoicing initiatives.

The challenge of VAT digitization in Eastern Europe

Each Eastern European country has a different approach to CTCs. These differences could extend further as mandates evolve and businesses have to deal with new filing formats like SAF-T and real-time reporting to stay tax compliant. Understanding the varying demands of VAT compliance is key for any business operating in or looking to expand into the region. With this guide you’ll gain a greater understanding of the requirements across the region. Our deep dive into key countries will help you comply with VAT regulations now and prepare for upcoming mandates.

Take a look at what's inside:

Regional tax knowledge

Detailed country guide

How to expand with confidence

What this guide to Eastern Europe e-invoicing and reporting compliance covers

Get our guide for a comprehensive picture of CTCs in Eastern Europe and the many requirements that vary country to country. This includes invoice format, connectivity, data requirements, how to submit, archiving, legacy systems, technologies and business processes-all of which need to be reconsidered and rewired to be compliant. We also conduct extensive reviews of key Eastern European economies as well as uncover what’s on the horizon in one of the most important countries in the region, Slovakia:

  • Continuous transactions controls –what are they?
  • Common clearance system features
  • Clearance regimes
  • Stay compliant with evolving CTC regulations
  • A close look at e-invoicing in the region
  • Romania
  • Poland
  • Hungary
  • Serbia
  • Slovakia
  • Compliance in Eastern Europe
  • How Sovos can help

The CTC landscape in Eastern Europe is constantly evolving, with countries at different stages of their journeys.

The Czech Republic, Austria, Croatia and Montenegro all currently allow post-audit invoicing.

Countries that have already implemented CTC regimes (either e-reporting or e-invoicing) where paper invoicing is still possible include Hungary, Albania and Greece.

In some cases, such as in Slovenia and Bulgaria, there are CTC schemes planned but details have yet to be specified.

Others have outlined their specifications and implemented voluntary schemes. Our guide covers some of these countries, providing details about the scope, document flows, key requirements and timelines of their regimes.

Romania –A sneak peak

There are three requirements for taxpayers in Romania:

  1. Mandatory e-invoicing for B2G transactions
  2. Mandatory e-invoicing for high-risk products
  3. Electronic transport mandate

Taxpayers are required to use the Romania e-transport system to issue an e-transport document regarding the transport of high fiscal risk products before transportation of goods begins. This includes data regarding the sender, recipient, goods, places of loading and unloading and details of the means of transport and carrier.

Sovos provides a cost-effective, secure, global solution capable of withstanding disruption prompted by the worldwide CTC trend.

Our unique cloud solutions keep you compliant in 60+ countries and our tax experts ensure your business complies with the latest regulations and their requirements.

Market-leading 40+ year history in global regulatory monitoring and analysis

One vendor, one technical interface

Embedded in 60+ partners (SAP, Ariba, Coupa, IBM and more)

Simple API for plug-and-play interoperability

Evolves with your technology and process choices

Sovos’ VAT Compliance Solution Suite includes both CTC reporting and CTC e-invoicing as integral components of a fully scalable solution suite and includes Sovos Periodic Reporting, VAT Determination, SAF-T and Sovos eArchive.

Understanding European VAT Compliance

Your guide to making VAT compliance simple

There are many elements to understanding European VAT compliance; our tax experts continually review regulations, compliance rules and tax authority updates to understand VAT requirements across Europe and beyond. This e-book is the result of their research and is ready for you to download. It’s ideal for anyone involved in VAT compliance who is keen to learn more.

  • Helps you to understand VAT
  • Covers over 40 jurisdictions within and outside the EU
  • Download for free

Navigating cross-border and understanding European VAT compliance can be complicated. With requirements varying from country to country it’s important to be prepared for any upcoming changes to ensure continued compliance. The digitization of VAT continues, and our guide will help you understand and be ready for changes including SAF-T, e-invoicing and continuous transaction controls (CTCs).

Quick Links

  1. What this Guide to understanding European VAT Compliance covers
  2. What is VAT compliance?
  3. What is a VAT number in Europe?
  4. Need help with VAT compliance now? Get in touch
  5. More VAT compliance resources

Minimise compliance risks

Essential VAT Guide

Including latest VAT trends

What this guide to understanding European VAT compliance covers

The guide provides information on understanding European VAT compliance including some of the biggest trends in VAT – CTCs and e-invoicing. We also look at some of the more complex VAT requirements including Intrastat, supply chain management, the EU e-commerce VAT package and VAT for events – all in one easy to understand e-book:

  • What is VAT?
  • The global tax landscape
  • VAT reporting
  • What is SAF-T?
  • What are CTCs?
  • Optimising supply chain management
  • The EU E-Commerce VAT Package
  • What is Intrastat?
  • VAT for events
  • Global and Europe VAT reporting requirements
  • How Sovos can help

What is VAT compliance?

VAT compliance means ensuring that VAT is applied and submitted in the correct format and by the relevant deadline to the relevant tax authority.

Each Member State has its own VAT invoicing and reporting requirements. Member States have been introducing e-invoicing, continuous transaction controls and SAF-T, all requiring specific data and formats to submit to the tax authority.

VAT requirements continue to change so it’s important to be aware of upcoming regulations and prepare in advance to remain compliant with the latest requirements.

VAT is a tax on final consumption, therefore it should not represent a cost to most businesses. VAT is more efficient and less detrimental to economic growth and competitiveness than other taxes

What is a VAT number in Europe?

To obtain a VAT number a company must register for VAT in the EU. Registering for VAT in the EU remains a complicated task, with each Member State having bespoke processes and procedures to obtain a VAT number. VAT reporting includes many elements, from registration to fiscal representation and filing returns. This guide explains the VAT reporting process, as well as upcoming changes that organisations should be aware of to remain VAT compliant.

Need help with VAT compliance now? Get in touch

End-to-end, technology-enabled VAT Managed Services ease your compliance workload and mitigate risk wherever you operate today while ensuring you’re ready to handle the VAT requirements in the markets you intend to dominate tomorrow. Get in touch with our sales team now.

Sovos Managed Services can help with a range of VAT compliance requirements, including:
  • Registration – guidance on country-specific registration requirements to avoid delays
  • Audits – minimise management time, fees and exposure to penalties or interest
  • Filing VAT returns – ensure VAT returns are in the correct format and include information required by tax authorities
  • Managing VAT changes – navigate changes to minimise risk and ensure continued compliance with the latest regulations and updates
  • Consultancy services – always on-hand to advise and help with queries of any complexity

Give yourself VAT compliance peace of mind.

Ease your VAT compliance workload and mitigate risk wherever you trade with Sovos’ complete end-to-end offering, enabled by our comprehensive software, helping you stay up to date and reducing the burden on your team.


The Sales Tax and Digital Asset Dilemma: Advice for Legislators & Regulators


How digital assets and blockchain will impact sales tax

Creating sales tax requirements is hardly an easy task. Nor is meeting those requirements and staying compliant in an ever-evolving industry. But the continued push to digital technology makes both sides of that coin extremely difficult. 

States are working to understand the proper tax treatment of digital goods such as digital books, movies and music. When you add blockchain technology into the mix, bundling endless combinations of things (such as a ticket to a sporting event or beverages from a concession stand) adds even more complexity to the sales tax perspective. Furthermore, there is a sourcing challenge when it comes to sales tax and digital assets. With blockchain, wallet addresses do not identify the physical owners of assets. That aspect of security is part of the draw. 

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So, what do states need to keep in mind as they start implementing (and then creating legislation for) this technology? What exactly does it mean for sales tax? 

This ebook breaks down the current digital asset dilemma and discusses what legislators, regulators and businesses need to understand, such as: 

  • Definitions of key terms and how they relate to sales tax
    · What is considered a digital asset? 
    · What exactly is blockchain? 
    · Why is this important? 
  • How online marketplaces come into play
    · Ecommerce markets v. non-fungible token (NFT) marketplaces 
    · The unique sourcing challenge for digital sales tax 
    · Will cryptocurrency have an impact? 
  • The questions surrounding sales tax collection – digitally
    · When does someone possess a digital asset? 
    · How will states evaluate digital assets that can be exchanged for tangible property or services? 
    · Is tax better deferred until an asset is redeemed? 
  • Words of advice for regulators and legislators
    · Know what you’re regulating before writing statutes 
    · Understand – and appreciate – that this is a new sales channel. Ecommerce, brick and mortar and now, digital assets will all likely be standing side by side. 
    · Short of official guidance, there is the chance for abuse of technology – how can you avoid it? 

The application of sales tax on digital assets transferred on blockchain is becoming an increasingly important consideration for states. Before diving headfirst into blockchain technology and digital assets, states need to be sure they are adopting best practices. That can only be done with an accurate and comprehensive understanding of the industry itself. Sellers and marketplaces are ready to comply with reasonable and well-articulated sales tax compliance requirements – they just need to be given reasonable and well-articulated requirements to follow. 


The Changing Nature of State Reporting for 1099-NEC/MISC


Understanding the basics and changing nature of state reporting for 1099-NEC and 1099-MISC will help you stay compliant

State reporting requirements for 1099-NEC and 1099-MISC forms are growing increasingly complicated. Whether your business is undergoing mergers and acquisitions, working to keep pace with regulatory change or is just experiencing growth, knowing the basics of state reporting is crucial to maintaining compliance. 

Tax reporting for nonemployee compensation includes both federal and individual state reporting requirements. First, there is the Combined Federal/State Filing program (CF/SF), which is an IRS program that forwards information received on to the states that participate in the program (not all states participate). There is also the direct to state reporting (DSR) requirement. Filers must report to each applicable state, with the states providing the information requirements and reporting deadlines. How can your business keep pace with the details for each state in which it operates? 

Get the State Reporting e-book

This ebook compiles the basics of state reporting requirements for 1099-NEC and 1099-MISC, including the following:

  • A breakdown of the CF/SF program requirements versus the DSR requirements
    · Which states participate in each?
    · What are the potential downsides for each program?
    · If a state participates in one, does that mean they cannot participate in the other?
  • Discussion on recent changes to reporting requirements and what it may mean for certain states
    · How many states require 1099-NEC be filed to them directly?
    · Which states have issued guidance on the reporting requirements?
  • An explanation of common state filing issues
    · What are they and how can you avoid them?
    · Are all states facing the same issues?
  • Background on state backup withholding, including state-specific examples
    · What is the range of withholding rates?
    · Is it applied at the state or federal level?

The digitization of tax compliance and reporting is unavoidable. Additionally, businesses face increased filing complexity and lowered thresholds for e-filing. Small- to medium-sized organizations are especially seeing great challenges in meeting all 1099 form requirements. It’s important to understand that homegrown solutions or manual efforts cannot continue to keep pace with the changes.

The issuing and filing of 1099-NEC and 1099-MISC forms is an essential part of tax reporting. When you have a better understanding of the types of required reporting, why it is required and how those details impact your company, you can better achieve and maintain state reporting compliance.



Streamlining Sales and Use Tax Compliance in Retail


What are the main sales use tax compliance challenges for retailers and how can they best overcome them?

DemandScience, on behalf of Sovos, conducted a survey to see what challenges retailers face related to sales and use tax compliance. By interviewing full-time finance and accounting decision makers at retail companies with annual revenues of $25 million to over $1 billion, Sovos garnered a better understanding of current sales tax obstacles and how organizations can address them.

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The survey found the following takeaways:

  • Barriers continue to remain even when businesses know they must improve their sales and use tax strategies. Nearly every person surveyed (98%) said there are problems in changing their company approach. Limited IT resources (34%) and leadership not being made aware of a business need for compliance process improvements (60%) were some of the top issues cited. 
  • 35% of finance and accounting decision makers said keeping up with the speed and volume of tax rate and rule changes is one of the most significant sales tax compliance difficulties their department faces. With finance pros often wearing multiple hats at their company, working to maintain compliance can lead to burnout. 
  • Sales tax compliance takes up more time than initially anticipated. The survey found that updating transaction systems to reflect rate changes (36%) and researching tax rates for applicable jurisdictions and states (35%) consumes the most time for finance and accounting teams. Additionally, 47% of respondents said their organization spends between four and five business days each month on sales tax compliance.
  • 56% of respondents said their department’s sales tax software solution(s) are not yet in the cloud. However, larger companies with revenues of $1 billion or more were more likely to have already adopted cloud solutions.

Omnichannel retailers need the right tools and processes in place to properly meet the ever-evolving sales and use tax filing and reporting requirements. Economic nexus was just the beginning, and it is hardly going to be the last challenge for businesses to overcome. 

Limited IT resources, budget constraints and lack of leadership buy-in can all impact retail organizations’ approach to sales and use tax compliance management. But those obstacles do not have to be insurmountable. Opting for a comprehensive and centralized platform with access to the latest forms, the ability to streamline audit activities and ongoing support for any technical issues is key for sales tax compliance.


SAF-T: An Introduction to the International Standard


Understanding the flexible SAF-T international standards adopted by Austria, France, Lithuania, Luxembourg, Norway, Portugal and Romania

SAF-T (Standard Audit File for Tax) is an international standard for the electronic reporting of accounting data from organisations to a national tax authority or external auditors used by tax administrations to gather granular data from businesses either on demand or periodically.

The SAF-T standard has been adopted in mostly European countries, alleviating the need for tax authorities to physically visit companies to extract and review wide-ranging corporate data.

This e-book includes:

  • What is SAF-T? – an exploration of the standard and its origins
  • A deeper dive of the SAF-T format – the current datasets and data requirements
  • The challenges of SAF-T for businesses – the flexibility and wider use of the standard
  • The future of SAF-T – what’s next?
  • How Sovos can help

Get the SAF-T international standards e-book

Countries that have introduced legislation to enforce SAF-T requirements include Austria, France, Lithuania, Luxembourg, Norway, Poland, Portugal and Romania. SAF-T requirements are continuing to be adopted in a number of EU Member States and countries in other regions are actively considering introducing it.

The latest SAF-T standard includes accounting, accounts receivable, accounts payable, fixed assets and inventory datasets. In most cases authorities request a text file on an XML structure.

The SAF-T guideline is flexible, enabling governments to freely adapt SAF-T to suit their tax filing and audit systems, to perform audits, or as a basis for prefiling periodic tax declarations such as VAT returns or inventory statements.

This e-book discusses the introduction of SAF-T back in 2005 and how the standard has evolved since then, as well as the challenges of SAF-T for both businesses and governments.

How Sovos can help with SAF-T compliance

Sovos helps customers manage their SAF-T requirements across multiple jurisdictions through software solutions that automate the processes to seamlessly extract required data, map data accurately to SAF-T structures in the latest legal formats and perform deep analysis on the SAF-T output generated.

Sovos provides certainty with a future-proof strategy for tackling compliance obligations across all markets as VAT regulations evolve toward continuous e-reporting and other continuous transaction controls requiring increasingly granular data. Sovos’ solution for SAF-T combines extraction, analysis and generation providing our customers with the certainty they need.

Experience end-to-end handling with compliance peace of mind with Sovos.

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Preparing for France’s E-invoicing and E-reporting Mandate

France is now moving towards continuous transaction controls (CTCs), introducing mandatory e-invoicing coupled with e-reporting.

The trend towards CTCs is global, and France is one of many countries to join this journey. As with previous CTC reforms in other countries, fiscal and economic gains are expected for both the government and businesses, such as:

  • Fighting fraud and bridging the VAT gap (€10 – 15 billion per year in France)
  • Reducing invoice processing costs for companies
  • Monitoring the economic activity in the country
  • Increase efficiency
  • Automating part of the VAT reporting process

Along with this, France is implementing an e-invoicing and e-reporting mandate. This is alongside the B2G e-invoicing obligation that is already mandatory.

The new French framework foresees a public platform as the recipient of data from e-invoices and e-reports. On top of this, a central directory will keep track of the invoice lifecycle, including payment status.

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Rollout dates

From September 2026, France will implement mandatory e-invoicing via a central platform and connected service providers as well as a complementary e-reporting obligation.

With these comprehensive requirements, alongside the B2G e-invoicing obligation that is already mandatory, the government aims to increase efficiency, cut costs, and fight fraud.

This extended timeline is welcomed by many companies, providing more time to better understand and prepare for the far-reaching consequences of this reform for their business processes, IT systems and tax compliance strategy.

However, businesses should start preparing now. Here are the key dates:

From 1 September 2026
All companies headquartered or with established operations in France will have to accept e-invoices through the CTC system from their suppliers.

Issuing e-invoices according to the CTC regime will become mandatory for the largest enterprises (some 300 entities) and will apply also to a further 8,000 mid-sized companies – “Entreprises de taille intermédiaire”

The e-invoicing mandate does not apply to B2C and cross-border invoices though there is  an obligation to report those transactions.

From 1 September 2027
All remaining medium and small companies will be in scope of the mandate.

How can businesses prepare for the mandate?

The mandate presents challenges for businesses. There is a lot to consider, and most businesses current IT and manual processes aren’t equipped to handle this change.

The French e-invoicing mandate is still evolving and there are many elements remaining before the scheme is introduced.

In this e-book, we will cover in depth how business can achieve compliance:

  • An overview of the French mandate
  • The latest update to the timeline
  • Partner Dematerialization Platform (PDP) registration requirements
  • What’s on the horizon for the French Mandate
  • Challenges for your organisation – what buyers and suppliers need to consider to prepare their business processes
  • How Sovos can help businesses prepare for France’s e-invoicing mandate

Many businesses will need help to achieve compliance with the new mandate.

Sovos has unmatched experience with continuous transaction controls and e-invoicing mandates all over the world. Our scalable global platform has evolved to encompass new mandates, handling the needs of today, and the future.

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Experts Outline New Roles for IT in Wake of Expanding Global Mandates


Do You Have the Right IT Strategy?

Governments are in your company’s data, demanding real-time reporting. This is the new reality – the new role — for your IT team.

What are you going to do about it?

Will you build a global strategy to manage your obligations, or take on a costly set of one-off fixes?

Make the right choice with guidance from five industry experts.

Take action:
Don’t go it alone. Talk to our experts.

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Managed Services for VAT Compliance

Many multinational companies find VAT compliance challenging, especially when trading cross-border. With the increase in real-time reporting across Europe and differing VAT registration and reporting requirements, VAT compliance now requires significant resources and specialist knowledge to ensure compliance and avoid costly penalties. As your business expands, so do your VAT obligations. This is why many organisations, turn to managed service providers to ease the burden of VAT compliance, audits and fiscal representation. This e-book discusses the many elements of VAT compliance including:
  • VAT registration
  • Fiscal representation
  • How to determine VAT obligations
  • Filing VAT returns
  • Preparing for an audit
  • Managing VAT changes
  • VAT compliance advice from JD Sports’ Indirect Tax Manager
Download a copy of the VAT managed services e-book

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How JD Sports manage VAT compliance with Sovos’ Managed Services

John Dowd, Indirect Tax Manager at sport-fashion retailer JD Sports discusses how he managed cross-border VAT compliance with the help of Sovos’ managed services

“For us at JD Sports and me personally I’m looking for a partnership, something long term, as it takes time and costs money to change advisors. I’m looking for a long-term relationship over a number of years with a VAT service provider.

“I want my advisor to have specialist knowledge, for us that’s retail and cross-border supply chains, overseas tax authorities, and I want to see new talent joining the team. I prefer a single point of contact to make it easier to move things along and of course, competitive pricing, and Sovos ticked all of these boxes for us.”

John Dowd, Indirect Tax Manager at JD Sports

The many elements of VAT compliance

VAT compliance has many elements, beginning with an understanding of place of supply rules to determine where VAT registration is required. Fiscal representation might be required to register in EU Member States.

Once VAT registration is underway, the next step is to determine EU VAT obligations by mapping the supply chain for the country of registration. There are also additional requirements to consider including exemptions, recovering VAT, Intrastat and varying continuous transaction controls (CTCs) mandates.

Submitting VAT returns to ensure compliance is a never-ending process. Each country has its own VAT return regulations and additional declaration requirements.

The VAT compliance cycle also includes preparation for VAT audits. Tax authorities can carry out audits for a variety of reasons so it’s important businesses prepare for audits and ensure they are able to manage the process successfully.

How Sovos VAT Managed Services can help with VAT compliance

Sovos’ end-to-end, technology-enabled VAT Managed Services can ease your compliance workload and mitigate risk where-ever you operate today, while ensuring you’re ready to handle the VAT requirements in the markets you intend to dominate tomorrow.

Download the VAT managed services e-book


Simplify EU VAT with IOSS

The EU E-Commerce VAT Package came into effect on 1 July 2021. And with it, the need for operational change, business disruption and plenty of accounting complexity.

A key component of the package is the Import One Stop Shop (IOSS) – a new way for companies to meet their EU VAT obligations when trading cross-border. 

In this e-book we explain IOSS’s key concepts and common use cases so you can better understand and take advantage of IOSS and how you apply it to your business.

IOSS is expansive, complicated and rewrites the rules for companies selling into and within Europe. This e-book aims to simplify that for you. We cover:

  • The basics
  • Intermediary requirements
  • Key considerations for your business
  • How to ensure IOSS compliance
  • How we can help

Get the e-book

We spend ample time on each of these topics so that you feel confident understanding whether IOSS is the right option for your business.

Our e-book starts with an easy-to-understand primer on IOSS. This includes how IOSS operates, its many rules and what has happened. The e-book also explains more on IOSS intermediaries as well as their purpose and when they can be used.

Find out more about the IOSS registration process, including its effects on:

  • Customer experience
  • VAT registration
  • VAT simplification
  • Record keeping
  • Data collection and invoicing
  • Contingency planning
  • Commercial matters

We answer some important questions you should consider about IOSS registration:

  1. Will you need to appoint an intermediary?

  2. How will you appoint one?

  3. How will you get set up for IOSS registration – will you do this yourself or search for help?

  4. How will you submit monthly returns and pay the VAT or use a partner?

  5. How can you ensure record keeping data is in the right format and up to date?

  6. How will you respond to tax authority audits?

Whatever your eventual IOSS decision is, our e-book will help you make an informed decision for the good of your business.

Compliance peace of mind with a complete, global VAT Managed Service from Sovos

Whatever your VAT implications, Sovos has the expertise to help you navigate your global events and the complexities of cross-border VAT obligations.

Our VAT Managed Services ease your compliance workload while mitigating risk wherever you operate today. In addition, we ensure you’re ready to handle the VAT requirements in the markets you intend to lead tomorrow.


Trends 13th Edition 2022

Trends and Updates on VAT Compliance

Trends 13th Edition 2022

Welcome to the 13th edition of Sovos’ annual Trends report where we put a spotlight on current and near-term legal requirements across regions and VAT compliance domains.

This report provides a comprehensive look at the regulatory landscape as governments across the globe are enacting complex new policies to enforce VAT mandates. It examines the demanding and unprecedented insight now required into your economic data so that regulatory authorities enforce standards and close revenue gaps.

This year’s report examines the evolution of law and practice around the four emerging megatrends that Sovos experts identified in the 12th edition. These trends, many of which revolve around tax compliance and controls being ‘always on’, have the potential to drive change in the way organizations approach regulatory reporting and manage compliance.

Authored by a team of international tax compliance experts, we provide extensive recommendations on how companies can prepare for and thrive through these changes.

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 The four mega-trends that we examine are:

  1. Continuous Transaction Controls (CTCs) – Countries with existing CTC regimes are seeing improvements in revenue collection and economic transparency. Now, other countries in Europe, Asia and Africa are moving away from post-audit regulation to adoption of these CTC-inspired approaches. The report highlights how countries like France and Hungary have accelerated their transition to CTCs, and how many jurisdictions are combining invoice controls with CTC transport documents, thereby expanding their real-time reach from financial to physical supply chains.
  2. A shift toward destination taxability for certain cross-border transactions – Cross-border services have historically often escaped VAT collection in the country of the consumer. Due to a large increase of cross-border trade in low-value goods and digital services over the past decade, administrations are taking significant measures to tax such supplies in the country of consumption or destination.
  3. Aggregator liability – With the increase of tax reporting or e-invoicing obligations across different taxpayer categories, tax administrations are increasingly looking for ways to concentrate tax reporting liability in platforms that naturally aggregate large numbers of transactions already. Ecommerce marketplaces and business transaction management cloud vendors will increasingly be on the hook for sending data from companies on their networks to the government, potentially even inheriting liability for paying their taxes. The report notes how the July 2021 introduction of sweeping changes in e-commerce VAT legislation via OSS and IOSS are confirming this trend.
  4. E-accounting and e-assessment – Combining CTCs with obligations to synchronize entire accounting ledgers makes onsite audit necessary only in cases showing major anomalies across these rich data sources. Over time, the objective is for VAT returns and other tax reports to be prefilled by the tax administration based on taxpayers’ own, strongly authenticated source system data. A brief deep-dive into the origins and potential future of SAF‑T shows how this trend is evolving to become a solid companion to CTCs globally.

CTCs have emerged as the primary concern for multinational companies looking to ensure compliance despite growing diversity in VAT enforcement approaches. Tax authorities are steadfast in their commitment to closing the VAT gap and will use all tools at their disposal to collect revenue owed. This holds especially true in the aftermath of COVID-19, when governments are expected to face unprecedented budget shortfalls.

The potential costs and risks associated with the trends highlighted in the report cannot be effectively mitigated with a reactive or opportunistic approach. The digital transformation of tax administration can – if approached as just an evolution of the legacy ‘post audit’ VAT world – significantly contract the digital transformation of businesses. This report suggests an analysis framework that companies can use to ensure ongoing VAT compliance whilst maximizing the opportunities of modern information and communication technologies for their own benefit.

In addition, Trends includes a major review of the country and regional requirement profiles. These profiles provide a snapshot of current and near-term planned legal requirements across the different VAT compliance domains.