Companies need to invest in the smart automation of the tax fulfillment process to avoid penalties, minimize overhead costs, and take a step closer to full automation of the tax compliance process. No one likes paying taxes; unfortunately, they are a fact of life (and business). Tax payments also represent a critical segment of a company’s Accounts Payable (AP).
Unlike vendors that may be willing to overlook the occasional late payment, taxing authorities are quick to assess penalties, making the need to prioritize and effectively handle tax bills essential.
Traditional fulfillment processes simply do not lend themselves to the demands of tax payments. While it is common for many companies to take 30 days or more to push invoices through AP, they may need to turn tax payments around in a matter of days. Traditional processes also give poor visibility into tax payments, making it difficult to monitor what is going on and to respond to allegations of missed or late payments. Companies that don’t have clear visibility into payables, including tax, spend nearly 60% more in resources responding to inquires than best-in-class companies that do.