Tax Effective Value Chain Management
30 August 2018
Where your business model is changing, we can help manage resulting tax risk and optimise the group's tax position in a sustainable way going forward.
Business Model - changing times
A growing number of businesses are looking to change their business model to drive both customer and shareholder value in the marketplace. This often has a major impact on key elements of an organisation's value chain - those critical activities and assets required to generate profits - including, either individually or together:
- Development and launch of new products
- Setting up in new markets
- Introducing central procurement
- Moving production to lower-cost countries
- Changing or moving the management structure
- Integrating new acquisitions
With proper planning, commercial benefits can be amplified by ensuring a new model maximises available tax benefits. This includes minimising up-front tax costs which could arise from the change process as tax authorities focus increasingly on business restructurings and how local territories share a multinational enterprise's income and profit.