Discover strategies to tackle state and local tax burdens and realize opportunities
More agile tax models are needed in the face of an evolving landscape including global uncertainties, impacts from the Biden administration, Tax Reform and Wayfair to allow the tax function to effectively provide critical inputs in business decisions. Companies should consider:
Effective cash tax management through minimizing taxable income, obtaining available refunds, and reducing required tax payments
Actions to stabilize supply chains while bracing for an unpredictable revenue and profitability mix in key markets
Resources needed to meet your ongoing indirect and direct tax compliance requirements, imposed by the various taxing authorities
Opportunities focused on becoming more flexible in responding to arising uncertainties
Whether state corporate, partnership, sales tax or unclaimed property, navigating the evolving compliance process has always been challenging. Now, businesses must take what was put into place post-federal Tax Reform and post-Wayfair and adapt it to a rapidly changing situation. Meeting this challenge will require a new vision of how we work and what we are trying to accomplish.
Aligning the tax function with cloud transformation initiatives can help drive growth, increase competitiveness, and unlock cash. From thinking through how to leverage a company’s ERP system to identifying applicable state or federal credits, tax should be an integral part of the strategy from the beginning. However, businesses may not be positioned to utilize these tax benefits.
State and local tax professionals need a strategy to stay ahead of and manage state and local tax burdens and to identify opportunities that result from evolving changes in legislation and administrative policy changes.
PwC’s State and Local Tax (SALT) practice can help you with strategies to manage your state and local tax issues by recommending solutions that are consistent with your company’s overall business objectives. We can also identify appropriate tax treatment that is consistent with good business practices and states’ applicable tax laws and rules.
