Of the 19 percent of respondents who expect changes to their tax department’s structure in the near future, 50 percent of them say that better alignment with the business and/or the finance function is among the primary reasons. However, better integration is still a lower priority in driving upcoming structural projects than improving controls, reducing costs, and improving/creating efficiencies.
Blueprint for change
The survey shows that tax directors are getting better at articulating and gaining formal approval for the tax strategy. But the current regulatory and economic environment highlights the importance of continually adapting the strategy to respond to changing circumstances. We recommend that a common purpose is agreed upon and maintained between the tax department and corporate leadership to align strategic goals and objectives.
As case study #1 shows, developing a broader set of performance measures can help quantify and communicate the full value the tax department brings to the company. We recommend defining one view of performance, shared by the tax department and corporate leadership. This includes clarifying what requirements are needed and how to measure performance.
As the tax department obtains greater clarity over these areas, the right mix of skills and team structure are essential to the execution
Of the 19 percent of respondents who expect changes to their tax department’s structure in the near future, 50 percent of them say that better alignment with the business and/or the finance function is among the primary reasons. However, better integration is still a lower priority in driving upcoming structural projects than improving controls, reducing costs, and improving/creating efficiencies.
Blueprint for change
The survey shows that tax directors are getting better at articulating and gaining formal approval for the tax strategy. But the current regulatory and economic environment highlights the importance of continually adapting the strategy to respond to changing circumstances. We recommend that a common purpose is agreed upon and maintained between the tax department and corporate leadership to align strategic goals and objectives.
As case study #1 shows, developing a broader set of performance measures can help quantify and communicate the full value the tax department brings to the company. We recommend defining one view of performance, shared by the tax department and corporate leadership. This includes clarifying what requirements are needed and how to measure performance.
As the tax department obtains greater clarity over these areas, the right mix of skills and team structure are essential to the execution
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