KPMG on Balancing of Global Demands against Tax Transparency

"According to KPMG, companies worldwide are getting measured against new standards of transparency in tax payments. Making this even more complicated is tax competition between countries, new regulatory pressures, modernization of tax administrations, and a growing public interest.
 

How can companies manage tax functions and avoid penalties to protect reputations?
 

KPMG shows four global trends which are proving effective measures:

·         Effective business strategies

·         Efficient tax planning

·         Excellent financial controls

·         Superior tax compliance

The trends are also forcing companies to improve on areas which can create value and enhance reputation among investors. This crusade for greater transparency has impacted tax governance issues; and greater media interest as well as renewed interest in taxation among the analysts.

 
Mr. Hickey of PricewaterhouseCoopers says,""The analyst community accepts that it does not specialize in tax, but what concerns them is that sometimes the companies they speak to do not seem to instill confidence that tax is under control and is adding value wherever appropriate."""