VAT has become the tax of choice for countries seeking to manage austerity deficit levels.
For businesses, this means increasing rates, VAT through flow cash flow risks, audits and potential fines. This is further compounded by tax jurisdictions pushing compliance checks and fraud detection obligations onto companies. For example, the UK, Spain, Hungary, Italy and Poland have all recently launched complex digital VAT reporting schemes onto millions of local and international businesses. This is requiring cross-functional co-ordination on a new scale being led by the indirect tax function. And in Brexit VAT changes, and huge new reporting and import VAT risks, it becomes clear that the VAT resource – in-house or external advisory – will be taking centre stage over the next few years.
So, the right indirect tax talent has become essential.
Richard Asquith, VP Global Indirect Tax, Avalara