Sovos launches Indirect Tax Suite to tackle global tax complexity

In response to the rapidly evolving tax compliance landscape, Sovos, a provider of tax, compliance, and trust service, has launched its innovative Indirect Tax Suite system. As part of the Sovos Compliance Cloud, the Suite aims to manage the complexities of contemporary taxation. Kevin Akeroyd, CEO of Sovos, expressed the need for such a solution, stating, "Companies operating across multiple markets – or looking to enter new markets – face three distinct challenges in meeting their indirect tax obligations."

These challenges, according to Akeroyd, include variations in tax rates and laws, vastly differing reporting intervals, and dissimilar transaction data documentation and storage requirements. Traditional disconnected point systems prove insufficient and result in significant resource drainage. "With the Sovos Indirect Tax Suite, companies can rely on the only comprehensive, global, always-on suite of integrated services in the industry to proactively manage compliance," said Akeroyd.

Given that nearly 70% of global businesses anticipate a greater organizational focus on tax governance within the next two years, Sovos's offering comes at an apt time. Complications are set to intensify as governments adopt continuous transactions controls (CTCs) and other real-time transactions monitoring technologies. As a result, digital invoicing becomes mandatory, and thus far, over 80 nations have onboarded e-invoicing requirements, with more set to join.

These trends underscore the need for digital adaptivity, especially for multinational corporations investing heavily in digital transformation to optimize business processes. By using the Sovos Indirect Tax Suite, these companies can maintain compliance without having to replace existing systems.

The Suite's features include seamless connectivity, allowing businesses to incorporate indirect tax compliance into existing workflows within over 70 of the most commonly used ERP and transaction management systems. This connectivity extends directly to global government tax authorities via the Sovos Compliance Network.

Another feature, Global Determination, offers automated, accurate tax rates and rule updates for Sales and Use Tax (SUT), Value Added Tax (VAT), and Goods and Service Tax (GST) across 195 countries. The final feature, E-Invoicing Compliance for Continuous Transactions Controls, supports emerging standards like PEPPOL and France's PDP. Consequently, companies avoid significant costs and time commitments generally required by compliance vendors necessitating country-specific deployments.

The Sovos Indirect Tax Suite also promises Filing, Reporting, and Insights: Sales Tax Filing and VAT Filing, offering global reporting coverage. This standardises processes for all periodic reporting and SAF-T obligations for enterprises, providing improved insights with detailed transaction analytics via dashboards, trend analysis and reports.

The Suite and Compliance Cloud come with the support of an international team of over 100 regulatory counsels and tax experts who monitor and report on more than 200 categories of regulatory change. They codify changes into the platform and liaise with governmental organizations to identify upcoming changes, offering an integrated solution unparalleled by any other cloud software provider in the industry.