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Tax Planning For The Digital Age: Some Suggestions

by Maria Steuerberaterin Maria Geier Steuerberaterin

What steps can you take to provide the groundwork for a fully digitalized tax system?

Be in charge of your information of Steuerberatung Digital

You need to be able to check the integrity of data drawn from many sources, such as accounting systems and enterprise resource planning (ERPs), and be so confident in its accuracy that you can utilize it to meet multiple tax requirements. To reach this point, it is necessary to examine methods that enable early detection and correction of problems. Anomaly and error detection may help you spot these problems by looking for unusual behavior in the system. You may either utilize the predefined tests, which could look for things like duplicate transactions or unexpected VAT rates, or you can provide your search criteria. You'll be able to set your criteria and take the necessary steps to fix things, such as finding VAT on tax codes where there shouldn't be any or highlighting suppliers that have been incorrectly treated for VAT. When errors are automatically detected, it boosts trust in the numbers and reduces time spent on review and prep.

Better precision is possible via automation.

Consider automating your computations to provide higher precision for digital audits. If your company employs complicated VAT procedures, such as VAT groups or the partial exemption standard or special method, this may help lessen the likelihood of making a mistake. This is not only useful for calculating amounts, but also for applying adjustments, blocking/excluding transactions, and creating reports.

Put out your efforts with the expectation of having to demonstrate your success.

Companies will have to show that they have taken all precautions to ensure their calculations are accurate as enforcement of compliance regulations. You may need to trace VAT down to individual transactions, which is a lot like trying to find a single needle in a large stack of paper. In contrast, a digital tax engine can time stamp each step of the VAT process, documenting the location and time of any edits made along the way.

Useful information may be found in your tax records.

Personal tax data analysis may provide a plethora of information for Steuerberatung Digital. It is possible to display past and present return periods side by side. Look at the numbers from different time frames. To foretell your financial obligations, examine trends. Determine business strategies. Use gap analysis to see whether you are claiming all the tax breaks to which you are eligible. About three-quarters of participants in an ICAEW webinar said they would use tax analytics if they could start using it this year.


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About Maria Steuerberaterin Innovator   Maria Geier Steuerberaterin

11 connections, 0 recommendations, 51 honor points.
Joined APSense since, June 16th, 2022, From Pfaffenhofen, Germany.

Created on Sep 21st 2022 00:31. Viewed 135 times.

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