Tax managers budget and obligations

Every week I hear tax leaders complain about not getting the resources they need. Their team is chronically understaffed. The budget is way too tight. And the toolbox is fairly empty. But sadly enough, year-over-year, the amount of tax obligations goes up. The regulatory change is increasing the pressure. The risk and controversy exposure is at an all-time high. And if that’s not enough, the business requires tax support on a daily basis.

Here are 5 tips to have a fruitful budget discussion with your CFO:

1. The CFO looks at 2 things: cash and risk. Focus on the business case. Focus on the RoI. Keep it short.

2. Double down on a healthy level of tax-awareness in your organization. Earn that seat at the table. Get rid of the dogma that tax is “below the line”. Directly link tax to business success. Value protection vs value creation ()

3. Every CFO wants to transform and digitize. Every CFO! Explain the need for the transformation of the tax function. Provide context. Explain the cost of doing nothing, or postponing transforming the tax function.

4. Start small, start today. Cut the transformation journey in pieces, based on a plan. Explain what’s in it for all stakeholders involved, including e.g. local finance people. Anticipate on any change management requirements. The CFO will appreciate that.

5. Speak the language of the CFO. Drop the jargon. Put yourself in her shoes.