Tax Management
KPMG Digital Gateway: Navigating the Complex Tax Landscape with AI‑Powered Innovation
In an era of unprecedented tax complexity, C-suite executives are grappling with what KPMG calls the "Tax Trifecta:" the impending 2025 tax cliff, sweeping global reforms, and relentless regulatory changes, comments Brad Brown, Global Head of Tax Technology & Innovation and CTO – Tax, KPMG US.
With a recent KPMG C-suite survey revealing that business leaders overwhelmingly see the current tax environment as more challenging to predict and plan for than ever before, it's clear that organisations need more than traditional approaches to stay ahead.
Enter KPMG Digital Gateway, a groundbreaking cloud-based platform that serves as a single source of truth for all tax-related data and technologies. This innovative solution represents a paradigm shift from reactive tax management to proactive strategic planning, offering a sophisticated response to modern tax challenges through the power of generative AI and integrated data management.
Charles Story
Director, Operations for Corporate Investigative Services, Rehmann
A Single Platform, Unified Data, Multiple Solutions
What sets Digital Gateway apart is its role as a comprehensive one-stop shop where various tax tools seamlessly connect and interact on a unified platform powered by Microsoft Azure. It's not just another tax tool – it's a transformative ecosystem that brings together machine learning, data analytics, powerful visualisations, and AI technologies to create a cohesive environment, across which data flows freely between applications.
The platform's unique architecture allows different tax tools to communicate and share data effortlessly, eliminating silos and creating a truly integrated experience. This means that data entered once can be leveraged across multiple applications, ensuring consistency and reducing redundancy across all tax functions.
The platform's differentiation lies in its ability to tackle multiple challenges simultaneously:
- Global Compliance and Reporting: Streamlines cross-border tax compliance, ensuring consistent reporting while balancing central and local delivery requirements.
- Strategic Planning: Helps organisations model different tax outcomes, driving data-led decisions to stay ahead of potential policy changes.
- Risk Management: Identifies and mitigates tax risks before they materialise.
- Data Optimisation: Transforms raw tax data into actionable insights, allowing tax departments to spend less time on data collection and more time on strategic analysis.
Revolutionary AI-Powered Features
Digital Gateway's architecture includes several groundbreaking features that address the evolving needs of tax functions:
- Conversational AI Interface: The platform's generative AI capabilities enable users to "talk to their data" in plain English, making complex tax information accessible through natural language queries. Users can ask questions like "Show me our effective tax rate trends across regions" or "Compare our transfer pricing positions across subsidiaries," receiving instant, intelligent responses.
- Intelligent Integration: The platform creates a unified ecosystem for tax data management through seamless API connections with third-party tools, ensuring all tax-related information stays synchronised and accessible.
- Personalised Access: Teams receive customised access to KPMG's tax and legal technologies based on their specific needs and services, with data flowing smoothly between different modules.
- Workflow Optimisation: Built-in project and document management tools streamline operations across borders and teams, all while maintaining data consistency throughout the process.
- Real-Time Intelligence: Users can access the latest tax news and updates, helping them stay ahead of regulatory changes while understanding how these changes might impact their specific tax positions.
Meeting Tomorrow's Challenges Today
As organisations face the Tax Trifecta, Digital Gateway offers a strategic advantage for:
- Planning for the 2025 Tax Cliff: Companies – including US multinational enterprises – can model various scenarios and prepare for the expiration of $4 trillion worth of provisions under the 2017 Tax Cuts and Jobs Act.
- Navigating the Global Minimum Tax: Organisations can better understand the intricacies of the Pillar Two regime (enacted in almost 40 countries), its implementation across different jurisdictions, and the potential actions the Administration might take, as well as their impact on the US’ position.
- Managing Regulatory Change: Teams can track and respond to evolving regulations, including those under the CAMT and IRA.
The Future of Tax Management
As tax departments face increasing pressure to deliver greater value with limited resources, KPMG Digital Gateway emerges as a crucial tool for success. By combining KPMG's tax expertise with cutting-edge technology and a unified data approach, the platform provides the technological foundation and strategic capabilities that modern tax departments need to thrive in an era of constant change.
The platform's ability to serve as a central hub for all tax-related activities, coupled with its innovative AI capabilities that allow users to interact with their data naturally, sets a new standard for tax technology solutions. As we approach the critical juncture of 2025, this platform stands as a testament to our commitment to helping clients navigate the most pressing tax challenges of our time through intelligent, integrated innovation.
Main image: Brad Brown, Global Head of Tax Technology & Innovation and CTO – Tax, KPMG US