CereTax P2P revolutionizes the way purchase-side taxation is managed.
Tax Challenges
A leading manufacturer utilized a legacy tax platform for determining and calculating sales & use tax variances on purchases. Tax department leadership was concerned about accuracy, lack of control over the rule configurations, risk associated with outdated content, and the high cost of the solution.
Need to Gain Confidence in Sales and Use Tax Determinations and Calculations
The company realized that the legacy tax platform’s back-end was unable to update content associated with “custom tax codes”. A custom tax code is set up when delivered content is not sufficient to properly determine taxability. Custom tax codes do not get updated. Therefore, when a rule or law change is initiated it’s up to the client to notify the previous provider of the change. The tire manufacturer’s tax resources were not monitoring for these changes. Thus, numerous errors existed exposing them to audit deficiencies in multiple states.
Need for Updated & Secure Technical Platform
Another concern that the tire manufacturer had was the legacy tax platforms outdated technology. The legacy tax platform runs in a 3-tiered client/server architecture presented over the web using a Citrix wrapper with a PowerBuilder UI. The legacy tax platform was also not SOC compliant. CereTax alleviated all their concerns by providing a solution that was developed using the latest technology which makes it the most secure and compliant platform on the market.
CereTax P2P Solution
CereTax was able to streamline the rule configuration from over 1,500 tax policy rules (many of which were redundant) to under 200 rules resulting in a much more manageable configuration. More importantly, the CereTax rules are mapped to proprietary “PS Code” taxability content that is updated every month. CereTax’s “PS Codes” were comprehensive to cover all the manufacturer’s tax determinations without the need for custom codes. This essentially eliminates the tire manufacturers' audit risks and puts them in complete control of their rule configurations.
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