In this blog post, we will delve into the key findings of the 2023 EY Tax Risk and Controversy Survey, shedding light on the emerging concerns surrounding tax audits and disputes.
Survey Highlights:
The recently conducted EY Tax Risk and Controversy Survey, encompassing the perspectives of over 2,100 senior tax and finance professionals across 47 jurisdictions and 20 sectors, presents a comprehensive outlook on the future of tax audits and disputes. Notably, more than 50% of Global Tax Directors anticipate an increase in the number and intensity of such cases in the next two years.
Key Insights:
Cross-Border Tax Focus: A significant 53% of respondents expect a heightened focus on cross-border tax matters, including transfer pricing issues. As tax authorities become more vigilant, organizations need to navigate these complexities effectively.
Detailed Information Requests: Four-in-ten tax leaders foresee a surge in requests from tax authorities for additional information, characterized by greater frequency and detail. This underscores the importance of maintaining accurate and comprehensive tax records.
Transfer Pricing as a Leading Risk: The survey reveals that transfer pricing remains a primary concern for senior tax leaders. Disputes arising from the utilization of tax incentives are also gaining prominence in the tax risk landscape.
Impact of BEPS 2.0 Pillar Two: Looking ahead, 62% of respondents anticipate an increase in tax costs due to the implementation of BEPS 2.0 Pillar Two. Additionally, nearly half (45%) predict a rise in the number of tax disputes resulting from these changes.
For a deeper understanding of the survey's findings, you can explore the complete report on the EY website at here - https://www.ey.com/en_gl/tax/why-tax-governance-is-key-in-an-era-of-more-tax-risk-and-controversy
Stay Informed and Prepared:
Staying abreast of the evolving landscape of tax audits and disputes is crucial for tax professionals like you. By regularly updating your knowledge and adopting effective tax governance practices, you can navigate the challenges and mitigate potential risks associated with these emerging trends.
Conclusion:
The 2023 EY Tax Risk and Controversy Survey sheds light on the growing concerns surrounding tax audits and disputes, providing valuable insights for tax professionals.
As you navigate the ever-changing tax landscape, I am committed to keeping you informed and equipped with the latest updates and best practices. Stay tuned for more news and expert analysis on taxation matters and remember to check back regularly for new updates and insights.
Comments