Tax Analytics & Compliance

Minimising risks in tax-relevant processes has become one of the most urgent tasks of companies. It is made more difficult by the increasing complexity of corporate processes and the growing importance of formalities and specifications. In addition, ever larger data volumes, the heterogeneity of ERP systems and the incompleteness of data in the systems limit the overview of business transactions.

In addition, there is a growing understanding of IT and a risk-oriented audit approach on the part of the tax authorities. This leads more and more frequently to additional taxable income, combined with substantial interest and penalty payments.

In the context of digitalisation, new technologies and possibilities are increasingly finding their way into tax departments and bring with them significant potential for increasing quality and automation.

The timely identification of tax risks, their active avoidance and the data-driven automation of compliance activities save time and a lot of money. Our Tax Intelligence Solution (TIS) supports you in this with precise error detection and a very high hit probability.

The solution covers a large number of different tax types (e.g. VAT, payroll tax, income taxes, etc.). To this end, the analysis not only takes into account data from financial accounting, but also includes logistical data to ensure complete transparency on the relevant transactions.

The integration of (scanned) documents also decisively improves the data basis and opens up new analysis possibilities. For example, invoice documents can be read automatically using artificial intelligence. This makes it possible to identify input tax potential and reduce tax risks, for example in the context of additions. Furthermore, individualised and automated tax determination on the sales and purchasing side can be realised by evaluating ERP data in conjunction with unstructured data.

Early detection of factors that may result in subsequent changes to tax returns reduces interest rate risks and, if applicable, protects against penal consequences. The initial risk assessment can be used as the basis for a focused, customer-specific evaluation or problem resolution.

The automatic analyses of the increasingly complex processes with the help of TIS create transparency and facilitate forward-looking action. Against this background, continuous data analysis is an integral part of a digital tax compliance management system. By integrating the analysis results into a common workflow tool, you always maintain an overview and control of your tax-relevant processes. In this way, the process quality can be sustainably increased. In addition, manual compliance activities and reporting obligations can be automated through continuous data analyses and artificial intelligence.

1. TIS as-a-service: Data extraction and analysis in KPMG's infrastructure (or a cloud subscription). Preparation of the results in an interactive dashboard and a report with detailed information. In addition, mapping and logging of the necessary follow-up activities is possible by means of a workflow tool.
2. TIS embedded: Implementation directly in the company; analysis by the company

Use the Tax Intelligence Solution to avoid tax risks and leverage tax and automation potential with methods from the areas of big data and artificial intelligence.

• Effective and efficient analysis of tax-relevant processes for more security in the company
• Consideration of different data sources, such as heterogeneous ERP systems and the underlying documents
• Simulation of a tax audit based on a mass data analysis
• Possibility of monitoring and control in a regular process through embedding in tax compliance management systems
• Cost savings through automation of compliance activities
• Acceleration and quality improvement of transformation projects through data-based ERP customising
• Linking and appealing visualisation of the extracted data, enabling in-depth evaluation even for IT inexperienced users
• Standardised data extraction from ERP systems
• Provision of detailed lists and an aggregated overview in a standard format (Excel or IDEA)
• Use TIS to avoid tax risks and leverage tax potential.