Tuesday, May 13, 2014
Ernst & Young, Bridging the Divide: Highlights From the 2014 Tax Risk and Controversy Survey:
Our survey of 830 tax and finance executives in 25 jurisdictions, completed in January 2014, indicates that the tensions described in our previous reports pale compared with the tax risks that companies are experiencing and anticipating. Eighty-one percent of all companies surveyed agreed or strongly agreed that tax risk and tax controversy will become more important for their companies in the next two years.
The results of this survey offer a glimpse of the hazards that must be overcome in order to safely navigate the next steps of the journey. It is clear that many companies may wish to consider enhancing their preparations and their tools in order to bridge the divide between current and future risk management frameworks.
Our survey reveals four major sources of tax risk:
- Reputation Risk
- BEPS and Legislative Risk
- Enforcement Risk
- Operational Risk