Why Financial Institutions Need to Focus on Value Added Tax (VAT)
Value added tax is the predominant transaction tax outside of the United States. As such, it can affect nearly every type of transaction that businesses, including financial institutions, undertake. Several issues create challenges for companies trying to administer and manage VAT. These include:
- Increasingly competitive landscape
- Complicated recovery methods
- Changing regulations
- High costs for exemptions
- Burden of managing VAT
How effective is your tax department in managing your firm’s VAT exposure?
Our VAT team can help you review your “partial exemption” methodology, if you employ one, to help you explore options for increasing VAT recovery. And, we can help assess the tax determination of supplies to help you determine if there are areas in which your company is incurring VAT unnecessarily.