The business environment is evolving. What does this mean for the tax function of the future?
"Now is the time. As companies ramp up on digitalisation, the tax function must be part of the digital strategy, to be technology-enabled to address the increasingly challenging landscape."
The tax function is set to transform as businesses adapt to an increasingly digitised environment. Increased global compliance requirements, inefficient processes and over-reliance on spreadsheets are increasing the risk and toll on strained resources. From leveraging technology to achieve operational efficiency, to enhancing intelligence from data analytics to manage company-wide risks, the tax function of tomorrow is set to transform.
Tax authorities are changing their approaches and are placing more focus on businesses' tax processes and controls. Regulatory disclosure requirements are increasing (e.g. Country-by-Country Reporting and related party disclosures). There is also a greater push for businesses to move onto the e-platforms (e.g. Singapore's compulsory e-filing of corporate tax returns by Year of Assessment 2020). Tax functions are required to do more. Having the right transformation and digital strategy, talent and technology will help define/re-define their value and relevance to their organisation.