article banner
Tax

Navigating tax in a digital world

How tech companies can future-proof their tax practices

As global attitudes towards tax change, tech companies need to future-proof their tax practices to stand up to enhanced scrutiny. Any inconsistencies could result in serious damage to reputation, competitiveness or income. One thing is clear—tax matters more than ever to today’s ambitious companies.

The way a growing company markets and sells its services can have a significant impact on its tax bill. Different countries treat different categories of products and services in different ways for tax purposes, making income characterization a vital consideration.

In 2013 when world-class tech companies made the news for their tax decisions, nobody in the business world was left in any doubt—companies that trade across borders need to get their tax affairs in order sooner rather than later.

As supranational bodies like the OECD, G8, EU and UN continue to make recommendations and amend the international tax landscape, tax planning will become increasingly complex. In this climate, tech companies need to define a strategic approach to tax planning that strikes a balance between upholding reputation and maintaining competitiveness.

Find out more about navigating tax in a digital world. [ 451 kb ]