This is #newtk: More efficient processes through digital tax bot UDO
Company | innovation | For the future of thyssenkrupp, our colleagues around the world are working to make our company more flexible, efficient, and powerful. Our #newtk strategy focuses on this performance idea. For example, in the implementation and observance of tax regulations within a major group like thyssenkrupp. The value added tax regulations alone are so extensive that from now on digital "tax advisors" will help us fight our way through the tangle of regulations and tax numbers. Switching to digital tools brings greater accuracy to the auditing process and gives our employees more time for planning and strategy tasks instead of having to spend hours on end checking invoices.
Precise compliance with tax rules and regulations is important to ensure the success of a business. Now, digital tools are expected to perform recurring tasks such as checking invoices for compliance with applicable value added tax regulations. For thyssenkrupp, it is essential to comply with extensive tax legislation every day. For transactions within the EU, very complex issues have to be taken into account, the answers to which require a great deal of expertise and above all time.
The Corporate Function Taxes & Customs and especially the Indirect Taxes & Customs department is the right contact for such tax issues. The 13-strong team advises group companies on indirect tax issues, which can be very time-consuming to answer. To save this time, the colleagues have now developed two completely new electronic tax advisors and made their knowledge available so that it can also be used by non-tax experts. The result: the digital tax consultant UDO.
UDO – the “Rain Man” for tax identification numbers
UDO is a specialist for value added tax identification numbers (VAT ID). All companies doing business within the European Union must have the correct VAT ID in their invoices. Companies are even liable for the correctness of their information. If errors occur here, in extreme cases sales tax must be paid in addition. The number is also relevant for a so-called “Summary declaration”. With this number, companies meet their obligations to report goods movements and monitor the flow of goods within the EU. “UDO goes to the trouble of knowing and recognizing them all,” says Arnd Willers from Global Shared Services – Finance Services, who is responsible for tools and systems in the Group. UDO also provides support in cleansing and updating master data.
The thyssenkrupp tax bot ensures order in chain transactions
“Series business” is a term used in VAT law and refers to transactions in which at least three companies from several different European countries are involved. A single movement of goods in such a transaction results in several deliveries. For each transaction, the place and time of delivery and possible VAT exemptions must always be checked separately. Sounds complex, but from a tax point of view it is. “our completely new thyssenkrupp tax bot regulates this complex procedure for Group companies,” says Marc R. Plikat from the Indirect Taxes & Customs unit. As soon as the digital colleague is fed with all the relevant information, he spits out the correct sales tax procedure and gives the necessary advice.
“So why do these tasks yourself? Both digital tax tools make life easier at thyssenkrupp. They guide you through a veritable jungle of guidelines and regulations and ensure that possible damage is kept away from the group,” Marc R. Plikat and Arnd Willers agree. “The bots are an innovation in the tax world. No other group has found a digital solution at this level to date,” the colleagues proudly explain.
Order & precision thanks to digital tax consultants
Thanks to our digital helpers UDO and the thyssenkrupp tax bot we can ensure that all rules and regulations are observed and that deliveries and invoices within thyssenkrupp are subject to regular and systematic checks. In this way, digital tools protect us from omissions and any damage that may result. The digitization of tax matters with the aid of bots thus makes a significant contribution to the success of the company.