If there is one thing in this world that we can all agree is not streamlined, it’s taxes! Country, state, county, city, sales, property, payroll, direct, indirect, and we are just getting started.
To make things more interesting, tax is 100% reliant on data from other departments and rules from tax agencies. Many times, tax teams cannot even start their processes until other functions finish their processes. If accounting takes a few extra days to close the books, tax has fewer days to pull the data, analyze it, prepare it, and submit. In many cases, tax teams are stuck between a rock and a hard place.
If revenue is calculated inaccurately, Sales inputs orders incorrectly, or customers change locations, it is up to the tax team to catch it, fix it (or request a fix), and still complete their process on time. If there are errors or things are done late, companies risk fines and penalties that can be massive.
With tax teams so dependent on data coming in and going out, and with timelines incredibly tight, faster data access, analysis, reporting, and automation is paramount.
Many tax teams hire more people when processes take too long, but in the end, there can only be so many cooks in the kitchen. Tax teams need tools that help them do their jobs more quickly, highlight errors, cleanse data, and document the process along the way.
Capitalize has helped teams create efficiencies in nearly every tax process. Challenges come from data access, cleansing, consolidations, reconciliations, reporting, and submissions. In many cases, we help reduce the timelines of processes from multiple days to less than an hour.
If your tax team is dealing with cumbersome and error-prone processes, and you feel like there must be a better way, there probably is. We would be happy to have a conversation about your processes and what we’ve seen other clients do to streamline their tax departments through automation and digital transformation initiatives.