Intercompany Teams Are Getting Ahead of New Tax Reporting Regulations

Many companies have already begun implementing intercompany tax reporting solutions to ensure compliance with evolving international tax regulations. 

In a recent blog from Dirk Van Unnik at FourQ he describes the context for these changes and how indirect tax teams are responding 

This summer the world’s leading economies signed up to a plan to force multinational companies to pay a global minimum corporate tax rate of at least 15% in Paris at the OECD meeting.

Van Unnik says "As larger, more developed countries are establishing corporate tax rules for all, many smaller countries and tax jurisdictions around the world are building new tax plans and digital capabilities. Across the globe, corporations of all sizes now are building automated tax processing and business operation infrastructures that will allow them to compete globally. Up to date infrastructure will enable additional countries and companies to join the global marketplace during the next five to 10 years.  Other challenges remain. The newly unified international tax law regulations that eliminate tax avoidance ambiguities, for instance, cannot stop fraud related to indirect taxation. Likewise, transparent intercompany tax reporting practices do not necessarily eliminate double taxation risk when tax jurisdictions in two different countries disagree."

For more insight on how to automate Intercompany register for our webinar. 

For insight on the new scrutiny on Intercompany read this article on Bloomberg