Henning Lauritsen is Acting Head of Tax at Wyelands Capital (GFG Alliance). We hear Henning’s three predictions for the future of tax
A closer relationship with tax authorities
In recent years, businesses have cooperated more and more with tax authorities, and the future of tax will see this trend increase as a lack of resources forces efficiencies. The authorities will ask us to implement policies, state our tax strategy on the website and get the whole company behind that strategy. If those policies are put in place, then we won’t need their audits – we have protection around the company and that makes us stronger.
Greater internal controls
The more internal controls a company can implement, the better that company will function. As technology allows our procedures to be digitised, I expect this area will grow in the near future. We can already see that digital VAT and tax creates efficiencies so that we as tax professionals have more time to focus on the company more broadly, rather than the detail.
The world is changing very quickly, and the future of tax will see many more tasks becoming automated. For example, automated transfer pricing reports will allow us to easily consult the business quickly on the markets it should sell to. These processes will also become more accurate over time.
The future of tax teams
The tax department must start to look like a thinking team, focused more on strategy and overall policy than the detail. Automation will mean the tax team reduces in numbers, and those left in it need to shift from being operational to more consultative. The tax department will be more involved in the business than they are today – among the C-suite you may see more tax professionals, lawyers and accountants. Closer integration with the business, perhaps as a virtual team rather than one separate, centralised department, will ensure the tax specialists can better guide the various teams as to what’s best for them.
In summary, it’s clear to see how better cooperation with tax authorities, more automated and efficient internal controls and a more consultative approach will shape the future of tax in the very near future. Stay up to date with the latest trends by following us on LinkedIn. To discover Henning’s thoughts on building a tax team from scratch, to learn about his career path and to access our ‘Lessons from Leaders’ series, visit our Insights section.
“We can already see that digital VAT and tax creates efficiencies so that we as tax professionals have more time to focus on the company more broadly, rather than the detail.”
Henning Lauritsen, Acting Head of Tax at Wyelands Capital (GFG Alliance).
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