In the race to secure safe harbour easements under Pillar Two, many groups focus on high-value jurisdictions and core entities. But even non-material subsidiaries can carry tax risks that undermine group...
Complying with Pillar Two isn’t something the tax function can achieve in isolation. From data integrity to reporting architecture, the rules reach into finance, legal, and IT. But with the right...
Pillar Two marks a shift in global tax compliance, from retrospective annual reporting to real-time exposure management. For in-house tax teams, this means evolving from compliance executors to strategic...
As multinationals ramp up for Pillar Two compliance, the allure of automation and analytics is growing. But while technology can streamline, only well-documented, audit-ready processes can withstand regulator...
As Pillar Two raises the bar for tax data integrity, many multinationals are discovering their consolidation processes are no longer fit for purpose. Materiality thresholds set for financial reporting...
Complying with Pillar Two isn’t something the tax function can achieve in isolation. From data integrity to reporting architecture, the rules reach into finance, legal, and IT. But with the right approach, in-house tax can lead the collaboration needed to deliver compliance without disruption.
The GloBE rules require accurate, auditable, and jurisdiction-specific data, much of which sits outside the tax team’s immediate control. That includes:
As Ross Robertson (BDO LLP) put it in a recent Tolley webinar:
“The data sits everywhere. Tax has to work harder to extract it, validate it, and explain it, because auditors and authorities will ask how you got there.”
Without coordinated input, even simple compliance steps can fail.
Finance owns much of the consolidation logic, materiality thresholds, and journal-level data that drives the effective tax rate. Tax must:
Legal teams influence the corporate structure, intra-group contracts, and local entity documentation, all of which shape jurisdictional risk. Tax should:
ERP systems, reporting tools, and third-party compliance platforms must all interconnect to produce reliable Pillar Two outputs. Tax leaders must:
“Technology helps, but it’s the process behind it, and the collaboration across functions, that really counts.” – Ross Robertson, BDO LLP
In many groups, Pillar Two has become the catalyst for long-delayed transformation. It’s an opportunity to reposition tax not just as a subject-matter expert, but as a strategic coordinator.
Pillar Two is complex, but the compliance roadmap becomes far more manageable when tax leads a coordinated, forward-looking response.
Watch the full webinar here
Explore how Tolley+ supports collaborative compliance