Tax and accounting teams with an integrated tech-first approach in their strategies will adapt to future change and drive their business forward to a competitive advantage.
FREMONT, CA: Despite enormous digital changes in the tax industry, making tax digital (MTD) for corporation tax (CT) can bring new concerns. The required changes to VAT and CT data and processes demand dedicated technology to build more efficient and cost-effective operations.
Research indicates that more tax functions will receive the same or a reduced budget over the next few years. Investing in the right technology and securing the essential skills is crucial to staying compliant, staying secure, and generating business value. New technologies are predominantly seen in the virtual landscape, and due to business changes, more businesses are struggling to overcome the implementation challenges. However, the benefits of adopting these new opportunities overcome the initial obstacles.
Pressure is building to embrace the cloud, data integration, and smart new technologies facilitating real business transformation. Knowing the latest tech trends enables tax executives to mshifttheir approach for smarter decision-making, compliance, and overall business success.
The Way to Cloud Migration
The out-of-date approach of on-premise server-desktop deployment amounts to lengthy, expensive partnerships with prominent legacy vendors, requiring considerable investment in hardware and software and costly ongoing maintenance. The desktop approach is siloed, with restricted communications between services, applications, and teams. Furthermore, depending on a single, monolithic, legacy vendor for multiple functions limits the opportunities.
As a result, tax teams increasingly focus on the cloud, investing in a flexible, robotic, and scalable platform with zero maintenance requirements and rich features. An optimal solution is possible through an ecosystem of existing components connected via APIs. Building such dedicated solutions takes less time and money upfront. This enables businesses to be more agile and deploy rapidly, empowering teams to share resources and work together more efficiently and quickly. Most teams have real-time access to the information and services they require. It eliminates the risk of effort duplication when working on siloed desktops and streamlines the path to digitization.
Data is more secure with the help of the cloud, and every big cloud platform is certified and aware of its regulatory responsibilities while integrating the best security practices. Cloud technologies have significantly reduced the total cost of ownership (TCO) and can improve sustainability by eliminating old servers.
Businesses identify the need to invest in specialist tax software for greater speed, clarity, and value for money and to improve the working experience of workers. Companies can futureproof themselves for the next step in the MTD journey by integrating tax departments across VAT and CT and eventually shifting to new and flexible cloud technologies. Using the available data in the most connected, transparent, and accessible way ensures VAT and CT are synchronised for success.
Since the potential of AI and RPA in the tax and accounting industry is yet to be realised, tax and accounting teams with a tech-first approach embedded in their culture will quickly adapt to future change and push their business ahead of their competitors.
