The rapidly changing world of tax is being transformed by both business change and the robust tax regulatory environment. Increased globalization and digital transformation are changing the re-ordering of business operations and the complexity of tax.
How does the people, process and technology transition change the landscape?
A tax professional in the present day are asked to work on themselves and have knowledge on the basic tax terms, but they are not asked to have a technical background or on other subjects.
For tax professionals in the future, a more rounded skillset is required besides a strong technical orientation. This means they need to be able to assess the quality and meaning of data, collaborate with people outside their area and communicate tax principles in simplified business language. Not only will tax professionals be assumed to deal with tax issues, but with the entire range of risks in the real world. This means a tax professional needs to be able to understand IT, big data, intellectual property and supply chain management as well.
The role of tax directors is also changing, where they need to function alongside CEOs and CFOs as partners to solve tax-related implications of complex business decisions. In order to meet an organization’s tax needs, the tax director must be strategic, communicative and possess leading capacity to boost and manage a diverse team of resources.
The core competencies of the new tax professional
- Coding and data modelling;
- Project management;
- Math’s and logical thinking;
- Learning to learn and being agile.
These core competencies are skills for modern life, or in other words; skills needed to stay relevant in the future. They define the knowledge worker. The new professional will need to master these core competencies in order to be able to work with applied knowledge. They can be seen as a prerequisite. Once a professional masters these core competencies, the professional can train extended competencies. Extended competencies are professional-specific competencies, such as knowledge on BEPS or tax technology. This extended knowledge needs to be gained and trained at a rather short notice.
Go through our Tax Technology Journey and obtain valuable information that will help you in the future.