Description: 'International tax management' digital business capability refers to the ability of a business to effectively manage and comply with various international tax obligations using digital tools and technologies. This includes the ability to accurately calculate tax liabilities, prepare and file tax returns, and ensure compliance with tax laws in different jurisdictions. It also involves the use of digital solutions to monitor changes in international tax regulations, assess the tax implications of business decisions, and optimize tax strategies. This capability is crucial for businesses operating in multiple countries to minimize tax risks and liabilities, and to maximize tax efficiency. Additional information: 'International tax management' as a Digital Business Capability refers to the ability of an organization to effectively manage, monitor, and comply with various international tax obligations using digital tools and technologies. This capability involves the use of digital solutions to handle tax-related tasks such as tax computation, filing, reporting, and planning across different countries where the business operates. This capability includes understanding and adhering to the different tax laws, regulations, and standards in various jurisdictions. It involves the ability to accurately calculate tax liabilities, ensure timely and accurate tax payments, and avoid penalties and legal issues related to non-compliance. It also includes the ability to optimize tax strategies and leverage tax benefits and incentives offered in different countries. The digital aspect of this capability involves the use of advanced technologies such as artificial intelligence, machine learning, and data analytics to automate tax processes, improve accuracy, reduce errors, and make real-time tax decisions. It also includes the use of digital platforms and systems for tax documentation, record-keeping, and reporting. Moreover, this capability requires the ability to integrate with other business systems and processes, such as finance, accounting, and supply chain, to ensure a holistic and coordinated approach to international tax management. It also requires strong data management and security capabilities to protect sensitive tax information from breaches and cyber threats. In addition, 'International tax management' capability involves the ability to stay updated with the latest international tax trends, changes in tax laws and regulations, and best practices in tax management. It also requires the ability to adapt to changes in the international tax environment and adjust tax strategies and processes accordingly. Overall, 'International tax management' as a Digital Business Capability enables organizations to manage their international tax obligations more efficiently, effectively, and compliantly, thereby reducing risks, optimizing tax costs, and improving business performance. Example: 1. Internal Revenue Service (IRS) in the United States: The IRS uses digital capabilities to manage international tax issues. They have an online system for taxpayers to file their taxes, including those with international income. They also use digital tools to analyze tax data and identify potential fraud or evasion. 2. HM Revenue and Customs (HMRC) in the UK: HMRC has a digital platform for managing international tax matters. This includes a system for reporting foreign income and claiming tax relief on foreign taxes. They also use digital tools to share information with tax authorities in other countries. 3. Australian Taxation Office (ATO): The ATO uses digital capabilities to manage international tax. They have an online system for taxpayers to report foreign income and claim foreign tax credits. They also use digital tools to exchange information with foreign tax authorities. 4. Canada Revenue Agency (CRA): The CRA uses digital capabilities to manage international tax issues. They have an online system for taxpayers to report foreign income and claim foreign tax credits. They also use digital tools to exchange information with foreign tax authorities. 5. India's Income Tax Department: The department has an e-filing system that allows taxpayers to file their income tax returns online, including those with foreign income. They also use digital capabilities to track international transactions and detect tax evasion. 6. South Africa Revenue Service (SARS): SARS uses digital capabilities to manage international tax. They have an online system for taxpayers to report foreign income and claim foreign tax credits. They also use digital tools to exchange information with foreign tax authorities. These digital capabilities not only streamline the process of managing international taxes but also enhance the efficiency and effectiveness of tax administration. Publisher: EIRA Team LOST view: OV-Digital Business Capabilities Catalogue Identifier: http://data.europa.eu/dr8/egovera/InternationalTaxManagementCapability EIRA traceability: eira:DigitalBusinessCapability EIRA concept: eira:SolutionBuildingBlock Last modification: 2023-07-27 dct:identifier: http://data.europa.eu/dr8/egovera/InternationalTaxManagementCapability dct:title: International tax management (DBC)