Exemption Certificate Management

Local and central governments of the world continue to rely on indirect tax as an important source of revenue.  They continually change their indirect tax structures and tax rates to adapt to their changing local economies and fiscal demands.  As a result taxpayers continue to invest substantial resource into maintaining tax compliance and incur substantial costs when they fail to do so.

NLB’s Indirect Tax Practice focuses on minimizing those inevitable costs by providing guidance on the top three cost drivers.

Labor Costs.  Given the complex process of managing the tax liabilities by customer, product and geography how can a taxpayer utilize existing tax software to reduce the human effort required to track the validity of each customer submitted Tax Exemption Certificate?  Automation and Customer Self Service are key to keeping organizational support costs in check.

Accounts Receivables.  There is a measurable cost to delays in customer payments due to misapplication of tax.  Working with the AR team we determine where these costs are the greatest? What customer or jurisdiction has the greatest opportunity to improve payment terms?

Penalties.  Delays in tax payments due to misapplication of tax rules lead to real and measurable penalty costs.  Working with the AP or Compliance team to determine where these costs are the greatest.

NLB’s Indirect Tax Practice works with you to quantify each of these real costs and recommend a solution that drives the greatest return on the time and expense invested in modernization.  Our recommendations will consist of both technology solutions integrated with your ERP and organizational design that focuses expensive labor where there is the greatest savings.

About the Author
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Carroll Mcintire

Vice President-Client Partner



/ Carroll Mcintire