FINC-1 - Business Taxation

Workflow

2 - Outreach Communications

For communication with the target business entity taxpayers - the tax administration implements a robust awareness raising campaign via telephone, email (i.e., Chambers of Commerce registered business entities contact database), SMS, newspapers, and social media. The purpose is to inform this target group about the new and mandatory digitized tax reporting process with clear guidelines and initial support on how to file taxes electronically using the platform in place. All information on the tax reporting platform should already be easily accessible and disseminated on all government run websites including in the Chambers of Commerce website, - timeframe to register, tax submission steps and requirements, deadlines, pre-filled standard form to declare revenue, expenses etc. Certain countries have a grace period of 1-3 years by which all businesses are required to transition to electronic invoicing (instead of cash-based transactions) to streamline and automate tax filing and reporting process.

Workflows

Client Communication to facilitate awareness of the tax platform for target audience and mandatory registration and enrollment process
Client Education for educating target users/audience on the objective(s), benefit(s), process, guideline etc
Content Management for the staff to generate relevant educational and promotional content

Building Blocks

Consent

3 - Registration

Registration is the process of collecting information of all eligible tax paying businesses that have formally registered their business entity in a country. Registration on the tax administration platform can take place via computer, mobile device etc. Information required could include business name, contact information (phone, email etc.) address, legal structure/type of business, date of establishment, taxpayer segment and corporate relationships., bank account details, business identification number or certificate received from the Chamber of Commerce etc. In certain countries, the Tax Administration allocates a unique taxpayer identification number and/or value added tax number (VAT) to each business, once they have fully completed the registration process. Personalized log in credentials can also be provided for each entity to be able to login to file taxes.

Workflows

Client Case Management for creating business entity user records
Data Collection and Reporting for capturing data of business entities
Identification and Registration for each registered business to be provided with unique identification number and/or personalized login details to the tax administration platform in order to submit all required forms and tax related documents

Building Blocks

Consent

E-Signature

GIS

4 - Data Verification and Validation

Data verification and validation should be coordinated with all relevant government authorities and regulatory bodies. For the e-tax system, in certain countries, the registration data that is submitted for tax purposes, is checked against other government databases (e.g. chamber of commerce business registry, etc.) to fill in any missing gaps, verify and validate collected information, including authentication of all records.

Workflows

Client Case Management for storing and reviewing identification, registration, and business registration records for tax purposes
Data Analysis and Business Intelligence for cross-referencing and verifying records across multiple registry sources, and reconciling gaps / overlaps

Building Blocks

Consent

E-Signature

5 - Registration Fee

To complete the registration, a fee can be charged to cover administration cost of registering a company in the Business Tax Register for the first time. This can be a one-time non-reoccurring fee. The payment can be done online or in person at the Tax Administration office as part of the final step of registration - this will depend on the country's tax regulations. This fee can directly be paid via debit or with credit card. Once the registration information and payment have been processed, a payment confirmation receipt and notification can be sent to the user information registration completion and approval.

Workflows

Client Case Management for identifying, authenticating and monitoring/verifying that the registration information and fee have been fully processed and received
Financial Services for processing registration fee

Building Blocks

Payments

6 - Tax Submission

To file and submit all requirements for tax submission purposes, users (business owners) can log in to the designated platform. They can then complete standardized electronic form(s) and submit other income data (e.g., payroll and financial). They can also submit accounting or other source data to support filings (e.g., invoices and trial balances) in a defined electronic format. In certain countries, there is an annual deadline of when to file taxes whereby all taxable income will be calculated according to the tax year. All income received or accrued during a single year would need to be submitted in the filling process, along with expenses paid or accrued. Depending on a country by country basis, there are generally three types of taxes that can be filed: (1) turnover taxes - value added tax (VAT) or goods and services tax (GST); (2) taxing profit of companies/ corporate income tax; (3) taxes from wages or salaries - these can be paid as you earn taxes or even directly taken monthly from wages.

Workflows

Client Case Management to track, review and process all submitted tax related documents. Also, to respond to any inquiries or support needs from business owners/accounting team
Data Analysis and Business Intelligence to analyze all submitted data and ensure they meet tax compliance obligations

Building Blocks

7 - Tax Payment

The amount of taxes a business pays can depend on the type of business, the nature of the business activity, and the volume of transactions carried out within the tax assessment period. In some countries, businesses must adhere to several domestic and business taxes including corporate income tax, value-added taxes, withholding taxes, and capital gains taxes. Thus, business taxes are calculated per the specific norms of a country.

The tax platform used can automate the tax calculation process by taking into account the tax regime and rate in the country, and the business's profit, revenue, expenses, and other relevant tax filing information submitted. The business is then allocated a timeframe in which to make this tax payment. The tax payment can be paid in one lump sum or installments.

Workflows

Client Case Management to track, manage and calculate tax payment per business. Also, to respond to any inquiries or support needs
Data Analysis and Business Intelligence to analyze all submitted data and ensure tax payment requirements are met
Financial Services for processing tax payments

Building Blocks

Payments