The VAT Evolution and Why It’s So Complex Part III: Why Global Solutions Matter to IT

June 2, 2021

In Part I of our series on the VAT Evolution, we explored the motivations of tax authorities and governments around the world to embrace digitization and technology of a method of increasing revenue collection and shrinking tax gaps. Then in Part II, Three Focus Areas for VAT we discussed some of the priority concerns for regulatory thoughts. In our final entry in this series, we are going to talk technology and why IT leaders are looking to move away from local point solutions to a global approach to managing VAT.

When managing VAT, local expertise is essential, but how does that expertise scale across borders? This is a concern of both tax and IT leaders alike. In our IDC sponsored report, Taming the Value-Added Tax Beast with Technology we cover this topic in-depth. You can download your free copy here.

The role of IT in tax is to enable VAT experts, through technology, to collect and remit tax appropriately with the capability to create and submit detailed reports upon request. Therefore, when IT is involved in the selection of technology, they are looking for several specific criteria. Here are the top three:

  • Creating a positive user experience – Tax and finance managers currently have a difficult time managing and analyzing data from multiple sources to ensure accurate and compliant reporting necessitating a higher level of involvement from IT. This creates a cost center that IT is looking to shrink and eliminate where possible.
  • Data Security – Security has become a multifaceted issue because of the amount of sensitive data being stored and shared with vendors and tax authorities through varying delivery channels. Keeping this information safe is always the top priority.
  • Scalability/Flexibility – As a company grows, tax compliance technology needs to be able to scale across multiple countries, regions and regulatory standards. Avoiding multiple point solutions is the goal of many IT leaders as it impacts the ability to produce a single view of your compliance posture.

Ensuring your technology provider has the capabilities to meet all the needs of your organization is important to confirm upfront. Taking the time to evaluate both current and future needs is critical before implementing new technology.

For more information on the VAT evolution and how your organization can best manage the complexity, download our IDC sponsored report, Taming the Value-Added Tax Beast with Technology and then take the time to talk with our experts.


Take Action

Learn more about Global VAT Solutions from Sovos

Sign up for Email Updates

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



Sovos is a leading global provider of software that safeguards businesses from the burden and risk of modern transactional taxes. As VAT and sales and use tax go digital, businesses face increased risks, costs and complexity. The Sovos Intelligent Compliance Cloud is the first complete solution for modern tax, giving businesses a global solution for tax determination, e-invoicing compliance and tax reporting. Sovos supports more than 7,000 customers, including half of the Fortune 500, and integrates with a wide variety of business applications. The company has offices throughout North America, Latin America and Europe. Sovos is owned by London-based Hg. For more information visit and follow us on LinkedIn and Twitter.
Share This Post
Share on facebook
Share on twitter
Share on linkedin
Share on email

January 17, 2022
What is a VAT Health Check?

At Sovos, our consultants are the leading experts in cross-border tax, saving both time and money for our customers. In this episode of the Sovos Expert Series, Becca Taylor sits down with Russell Hughes, Consulting Services Manager at Sovos to explore what our consultancy team do and how they can work with your current processes […]

North America ShipCompliant
January 17, 2022
Beating the Post-Holiday Sales Slump with DtC Wine

By Zach Kamphuis, Vice President of Business Development at Commerce7 October, November and December represent the best direct-to-consumer (DtC) sales months for many wineries. With the 2021 holiday season now behind us, how can wineries capitalize on the new customers gained through the past months and avoid falling into a post-holiday sales slump for DtC […]

EMEA VAT & Fiscal Reporting
January 13, 2022
Brexit One Year On – What Do We Know?

The Northern Ireland Protocol regarding goods moving from Great Britain to Northern Ireland continues to cause problems, leading to calls to suspend it via Article 16. But at the same time, some NI politicians are looking to capitalise on the possibility of inward investment by companies that can benefit from being in both the UK […]

North America ShipCompliant
January 12, 2022
Beer/Malt New Product Registrations See Increase in Q4 2021

Near Beer registrations have robust 55% growth from Q3 2021  The final months of 2021 saw some fluctuations from recent beverage alcohol brand registration patterns. This is not a complete surprise, as the industry is putting a cork in the second year of doing business and introducing new brands in a pandemic-influenced marketplace. For example, […]

EMEA IPT VAT & Fiscal Reporting
January 12, 2022
Meet the Expert: Edit Buliczka, Compliance Services Manager at Sovos

Meet the Expert is our series of blogs where we share more about the team behind our innovative software and managed services. As a global organisation with indirect tax experts across all regions, our dedicated team are often the first to known about new regulatory changes, ensuring you stay compliant. We spoke to Edit Buliczka, […]