The Big Four auditors emphasize in their Indirect Tax Surveys the increasing risks of assessments, fines and reputational damage, as the importance of indirect tax amounts flowing through the accounts is increasing and the KPIs and effective monitoring is generally missing for indirect tax.
The European Commission mentioned in September 2015 that the total VAT-gap amounts to €168 billion. The prevention of VAT fraud is a high priority list of the European Commission. From its action plan we have selected a couple of actions:
- Improvement of collaboration between EU and non-EU countries;
- Improvement of effectiveness of the tax services, including research into the possibility for automated data provision that enable the tax authorities to develop an automated mechanism to trace and connect individual transactions, in order to signal fraud at an early stage;
- Development of a new way of data collection by collaborating with the EU countries
- Improvement of collaboration between authorities and setup of a joint procedure for detecting and handling fraud.
The Key Group can assist via data analytics/sampling to assess whether any tax risks are present in data (to be) submitted to the tax authorities and remediate SAP VAT setup and/or any VAT processes when that is the root cause.
Overview of articles written:
- Greece - mandatory e-invoicing
- Italy - mandatory e-invoicing
- Hungary - update RTIR
- Portugal - annual report
- A cost-efficient way to submit SAF-T files and perform risk management
- Hungary per July 1, 2018
- SAF-T Poland
- SAP and SAF-T PL
- Mandatory e-audit files
- SAP - submitting close to real-time data to tax authorities
- Italy - Spesometro
- Spain - SII
- A scalable SAP solution for countries implementing SAF-T
- Norway - SAF-T on request
- Integrated SAP solution for SAF-T
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Written by Richard Cornelisse
Richard advises multinational businesses in improving the efficiency and effectiveness of their Indirect Tax Function and Tax Control Framework.
He started his career as a manager at Arthur Andersen and then became a partner in EY where I led the indirect tax performance team for Netherlands and Belgium. Currently, he is a senior managing director of KEY Group.
Richard has over 20 years’ experience advising clients on international VAT issues. He is specialized in the tax aspects of financial transformations, shared service center migration, and post-merger integration work. Richard is also somewhat of a mentor, giving back to the profession. If you are interested in conversation and discussion, please feel free to contact him.