The Challenge – Country-by-Country Reporting
Tax compliance is moving at a rapid pace, with almost constant new schemas being released – changing existing legislation and, on occasion, creating completely new reporting requirements. An example of this is HMRC and the Irish Revenue initiatives which follow BEPS (Base Erosion and Profit Shifting) action 13. This has led to the requirement of large multinational companies with a group revenue in excess of 750 million Euros which have a presence in the UK or Ireland, to submit a Country-by-Country Report (CbCR).
These developments within HMRC and the Irish Revenue around the initial schema aim to improve transparency. This means that multinational corporations need to deliver accurate reports.
With this emphasis on transparency and accuracy, you need confidence in the quality and completeness of your report and there can be no omissions. Aside from the penalties companies can face, not to mention reputational damage, costs could be associated in the time spent responding to enquiries related to the figures reported and possibly further tax liabilities should a tax authority successfully challenge your business based on the new information provided.
The Solution – Country-by-Country Reporting from Tax Systems
Our solutions allow you to prepare and submit accurate XML Country-by-Country reports to the relevant tax authorities while providing a clear audit trail of where all data was sourced from and a PDF containing a human-readable summary of what has been included in the final XML submission.
- Centralises all processes for CbCR reporting to save time and cost around internal resourcing and allow for the redeployment of tax professionals to focus on value add tasks
- Validates against latest rules, checks data for completeness to ensure quality in order to reduce the risk around submission
- Feeds into Business reporting to add value to the business and contribute to strategic planning
- Mitigates risks associated with creating a group report
- Intuitive and user-friendly interface which adjusts to any screen size for anytime, anywhere, any device access
What We Offer
Option 1: software solution
Tax System’s automated Country-by-Country Reporting software delivers a secure cloud-based solution which manages the collection and aggregation of relevant data across each country within a global business. The intuitive dashboard delivers live updates which provide the examination of data management, workloads and a real-time analysis of the global business situation, allowing the business to understand any areas of risk which may appear, bringing all relevant tax and compliance information into a single location.
It supports the global implementation of HMRC and the Irish Revenue Country-by-Country Reporting schema, to deliver an accurate report for your required jurisdiction.
The solution has been developed specifically for Tax and Compliance departments to replace spreadsheets and to automate processes previously based on information consolidation by email or phone call.
Option 2: Outsourced XML conversion solution
Where you have already aggregated your data, we can convert it to XML for you. Our Professional Services team provides you with our Excel template, which has been designed to capture all information required to be reported by the group.
Our tax experts provide a fresh pair of eyes, familiar with what should be included in your CbCR XML, to check the Excel template for any obvious errors or missing information. We then import your data into our CbCR engine, which will validate the data against the latest tax authority rules, such as whether all key information is included and whether it is formatted correctly.