Money

3 ways a VAT company can help you manage VAT returns and expenses

VAT is big business worth trillions of dollars every year, yet approximately 70% of companies are not reclaiming the VAT they are entitled to. Why? Well, managing the VAT returns and expenses of a business is complex, time-consuming, and a drain on resources.

Companies conducting international business face a huge challenge in keeping up-to-date and understanding the complexities of cross border VAT regulations in the EU and beyond.  When you consider the headache of the finance systems having to process hundreds, possibly thousands of transactions, it’s clear that companies could be leaving themselves exposed to delays, errors and costly non-compliance. Here are 3 ways a VAT company can help you manage your VAT returns and expenses:

Improves efficiency

Educating your traveling employees in the procedure for completed VAT expense reports, can be costly and time-consuming. Also, time is wasted by employees filing expense reports and having to calculate the VAT due themselves. If they are not doing that then someone is, more manpower and cost.

A VAT company offers more than just a software; it provides a process. Automated technology streamlines the entire VAT process from start to finish. At the front end, invoices and receipts can be uploaded by employees, validated by the system and the data stored compliantly. At the back end, VAT reclaim and reporting are managed together. One unified process is created, saving time, maximizing eligible VAT reclaim, and reducing the risk of non-compliance.

VAT technology importantly, reduces the ever-present risk of human error. By automating the process, less hands are involved which results in less errors. Any mistakes made anywhere in the VAT cost money and time to rectify. What a VAT company brings to the table is a transparent workflow that reduces the manpower needs and improves company efficiency.

Ensures VAT compliance

Compliance. Ugh. VAT professionals love to complain about the ever-changing VAT rules and regulations. With each border crossed, a new set of rules must be adhered to. It isn’t just the VAT recovery rate that varies between country and country, whole new sets of rules are in place that complicate VAT returns and expenses. Failure to be compliant could not only cost your company in lost VAT reclaim, but it also widens the risk of incurring expensive fines and penalties for non-compliance.

The manpower and local expertise needed to ensure compliance throughout the entire VAT process is not cheap and difficult to manage. A VAT company, though technology, experience and local knowledge streamlines the VAT process, providing a cost efficient and thorough system to manage VAT compliance at every level. Employees can upload receipts or invoices and the VAT company using cloud-based AI technology, validates and stores the data, automatically updating the VAT reporting and subsequent VAT reclaim.

Through automation, having to adjust to the latest changes in law, regardless of country, is done for you. A VAT company ensures that potential Data-related headaches like the game changing GDPR are managed without disruption or error.

A VAT company improves your bottom line

Billions of dollars in unclaimed VAT stay left of the top every year. Failure in processes is costing companies huge amounts of money that they would prefer to have. Not only does a VAT company improve a business’s bottom line by reducing manpower needs, errors and audit risks, they also provide a more accurate VAT reclaim, which invariably means more money to your company and a better bottom line.

Savings are made across the board with a VAT company, both in time and in money. The technology employed by a VAT company ensures an efficient and accurate process, throughout the entire VAT management system. In utilizing automated artificial intelligence, a VAT company reduces the likelihood of the costly human errors by cutting out as much human involvement as possible. The real time reporting and analytics give companies the opportunity for stronger analysis and more accurate budgeting. The money saved, headache avoided, and the money reclaimed, should make the services of a VAT company an essential part of their finance strategy.

VATBox takes the pain from your VAT returns and expenses

Created by VAT professionals, VATBox offers a streamlined, cost effective global VAT management process that can handle even the smallest increment. Complicated and time consuming expense collation, validation and storage are handled with ease, whilst the VAT returns are performed automatically, compliantly and accurately.

In VAT returns and expenses within a globalized business environment, there are so many obstacles to overcome. Let VATBox take the complexity away from the VAT process and install a system that ensures efficiency, compliance and more accurate VAT returns.