In today's rapidly evolving regulatory and digital landscape, global business models are undergoing profound transformation. New compliance requirements such as BEPS Pillar Two, public Country-by-Country Reporting, Digital Reporting Requirements and Taxes@ESG, as well as the lack of qualified people in some regions, changing business models, the need for digitalization, the opportunities of AI and the turmoil of the global economy (new tariffs, etc.), present a tax function with difficult new challenges.
Business Challenges (Your Needs): Managing Global Tax Processes
The specific requirements for successfully mastering this transformation for a tax function are numerous. Is your tax function equipped to address all of them?
1. The (usual) mess with data: Data quality, the usage of (new) data models, the integration of different data models, especially transactional data models in Real-/Near-Time scenarios.
2. Operating Model(s): Due to a lack of resources and know-how, tax functions must now be able to implement different operating models (outsourcing, insourcing, shared service centres, combinations of models, integration of AI agents, etc.) or quickly switch to a new operating model.
3. Flexible calculations: Rapidly changing tax regulations and new requirements (such as BEPS, Pillar Two or digital reporting requirements) require technical solutions that implement a multitude of different tax calculations in a flexible, comprehensive and transparent way.
4. Insights and analytics to be able to steer operations: New data models, new calculation requirements, complicated tax laws and very short reporting deadlines require technical solutions that provide quick and clear insights and analyses.
5. The challenge of the control environment to run a tax control framework: The requirements of various stakeholders (tax authorities, auditors, the public, etc.) regarding (data) quality, transparency, explainability and traceability are constantly growing.
Our Solution (Your Benefits): Tax Workplace
msg global Tax Workplace covers all group-wide Direct Tax processes and with the integration of partner solutions for Indirect Tax Reporting the Tax Workplace enables comprehensive tax function management.
Here's how the Tax Workplace can handle your needs and support you to manage Global Tax Processes:
1. Comprehensive Data Management: You can connect all different kind of source systems with the Tax Workplace, input data manually, change and enhance existing data models and create new ones. Technical validations support data quality and completeness.
2. Global Tax Calculations: Pre-built calculation models (Tax Reporting according to IAS 12, BEPS Pillar Two, Standard Corporate Income Tax Calculations) based on reusable templates allow to change flexible existing calculation and create new ones.
3. Task- und Process Management: A Task Monitor to be able to monitor process steps and status, comprehensive workflow functionalities to run a 4-eye or even a 6-eye principle are integrated features of the Tax Workplace.
4. Insights and Analytics: Pre-built Management Reports in combination with Analytics Dashboards generate the Insights needed to be able to steer Global Tax Processes.
5. Control Environment: Technical Validations in combination with Business Checks, traceability, an audit trail and the transparency regarding the structure of the data models enables the tax function to maintain the Control Environment needed.
Delve Deeper: Seamless Integration with Source Systems, Decision Making and the Integration of AI
Stay tuned for the next blog, where we will delve deeper into how the Tax Workplace seamlessly integrates with different source systems, empowers informed decision-making through scenario calculations, and how we integrate AI features into the Tax Workplace.
How msg global – Global Tax Solution Team Can Support Your Transformation
At msg global, the Global Tax Solutions Team understand the unique challenges that the Tax Function of our customers face. In Partnering with selected Tax Consultants, we make sure that the Calculation and Returning models of the Tax Workplace are always up-to date.
With SAP PaPM and SAP BTP, the Tax Workplace is built on two strategic SAP solutions which guarantees state-of-the art technology. From technical implementation to ongoing technical support (functional support provided by selected Tax Consultants), our team of experts is here to guide you through every step of the transformation, ensuring a seamless transition and optimal utilization of SAP PaPM's and SAP BTP’s capabilities.
