The white paper “Process Analytics”: Data Analytics and Process Mining in the tax sector was created within the working group “Process Analytics” (Expert Committee VII).

A study prepared by one of our founding members, Ebner-Stolz, in cooperation with F.A.Z. Business Media, examines the degree of digitalization of the tax function of medium-sized companies.

IDSt auf der Tax Technology Conference

The current EU VAT system is increasingly complex and susceptible to fraud for businesses and tax administrations. This is partly because it has not kept pace with the challenges and opportunities presented by new digital technologies. Against this background, the European Commission has taken the initiative to adapt the EU VAT framework to the digital world.

Having addressed the use of Artificial Intelligence (AI) in tax in a white paper, our FA VII’s latest publication is devoted to the broad topic of Tax Technology, of which AI is just one area. This is done in a glossary that explains essential technologies and techniques that are already being used in the tax environment to fulfill the tax function more efficiently, or are to be used increasingly in the future.

The OECD’s Forum on Tax Administration (FTA), together with eight partner organizations, launched the online Inventory of Tax Technology Initiatives (ITTI) in early April 2022. This contains measures and projects initiated by tax authorities to drive forward the digitization of the taxation process.

The use of artificial intelligence (AI) is also gaining increased importance to the tax sector. The “AI” working group from our Expert Committee VII has produced an initial IDSt publication on this subject to present the basics and the current status. We hope this will provide more clarity into the meaning of AI in tax law and constructively guide the discourse for the future use of AI systems.

Digitization is the most advanced in the financial administration compared to other administrations. Nevertheless, there is a constant need for adaptation and improvement due to new political and legal developments. In order to advance tax digitization, achieving the digitizability of tax law standards is of essential meaning.

Dr. Achim Pross has accepted his appointment to the Advisory Board of IDSt. He is head of the International Cooperation and Tax Administration Division of the OECD Centre for Tax Policy and Administration. His appointment is intended to intensify the exchange of information on the results of IDSt’s work as well as international deliberations and developments at the OECD level.

We would like to draw your attention to the dissertation entitled “Combating VAT evasion in cross-border digital services provided to consumers using blockchain technology” by Dr. iur. Robert Müller LL.M., which has just been published and is relevant for IDSt Expert Committee VI.