Understanding State IRA Withholding Requirements

IRA withholding remitting, reporting and reconciling can be difficult for organizations to manage at a federal level, but it gets even more complicated when you add states to the mix. Each state has their own remitting and reporting frequencies, thresholds, requirements and penalty structures. Because of this, it can be hard to determine if and when state withholding is required on a state-by-state basis.

This map breaks down where IRA withholding remitting and reporting is mandatory, verses being voluntary or not required, on a state-by-state basis to help organizations understand their IRA state withholding requirements.

 

Centralizing and automating manual withholding processes has allowed organizations to improve operational efficiency by up to 92% allowing resources to focus on business critical tasks while mitigating process, compliance and security risk. Find out how Sovos can help.

Brazil: Electronic Invoicing and Reporting Requirements

In 2008, Brazil adopted a clearance electronic invoicing model in which the country’s tax authority must receive and clear an invoice before a supplier can issue it to a payer. More than a decade later, the Brazilian tax administration’s digitization has evolved so much that other tax administrations call Brazil the Google of fiscal goods. 

Current regulations include electronic invoices for: supplies of goods (NF-e), services (NFS-e), transport services (CT-e), freight (MDF-e), SPED, REINF and, more recently, for the supply of electricity (NF3e). 

This document provides an overview of the mandates and regulations in Brazil.

Mexico: Electronic Invoicing and Reporting Requirements

Mexico is a pioneer in electronic invoicing and VAT enforcement, having begun its digitization journey in 2010. Today, Mexico has one of the most technologically advanced tax administrations in the world. Companies unaware of or unprepared for Mexican e-invoicing mandates could face significant fines and penalties, along with supply-chain disruptions and cash-flow issues. This document provides an overview of mandates and regulations in Mexico.

The High Cost of Compliance Errors in Latin America: Fines and Penalties by Country

Failure to comply with business-to-government regulations in Latin America can impact critical business functions, not only resulting in millions of dollars in fines and penalties, but also shipping delays and operational shut-downs. In the most complex regulatory environments, such as Brazil, these mandates even affect sales, procurement and HR functions.

Though the end goal of these regulations – increased tax revenues – is the same, each country in Latin America varies significantly in terms of specific requirements and risks of compliance errors. With strict government regulations that can change almost overnight, companies are struggling to keep up with how these requirements differ by country. Here we have outlined the fines and penalties per country

Automate Unclaimed Property Compliance with a Hosted Solution

Complying with regulations regarding unclaimed property is extremely complex and can quickly turn into a huge hassle for employees in tax, finance, accounting, and legal departments. Learn how an automated solution can help.

Infographic: State 1099 Reporting Deadlines

By far, the biggest challenge facing organizations during 1099 reporting season this year was state reporting. With states tightening deadlines and multiple jurisdictions and reporting thresholds to deal with, Sovos customers found state reporting more complex than any other element of reporting season.

This updated infographic shows why. The map shows 1099 reporting deadlines by earliest deadline per state. In just a few years, the vast majority of 1099 first deadlines have shifted from March to January. Combine that shift with changing thresholds for 1099-K forms and other state-specific policies, and it is clear why state reporting has become such a challenge and will likely continue to be.

 

With reporting periods shrinking, organizations need to centralize and automate reporting processes in order to maximize efficiency, ensure compliance and avoid financial penalties.
Find out how Sovos can help.

Vendor Assessment

IDC MarketScape Names Sovos a Leader in Sales Tax and VAT Automation Applications

IDC MarketScape highlights:

IDC MarketScape Worldwide SaaS and Cloud-Enabled Sales Tax and VAT Automation Applications 2019 Vendor Assessment named Sovos a leader for our global presence and coverage, strong cloud platform, and e-invoicing compliance solution. Read the brief now.

“Sovos offers these organizations tremendous value by providing coverage for every form of transaction-level tax compliance in one solution.” –Kevin Permenter, Research Manager, IDC

Here’s what the IDC MarketScape measures:

  • Overall market evaluation and assessment of tax automation applications
  • Insights for selecting a vendor based on your organization’s requirements
  • Strengths, challenges and considerations when deploying tax automation applications
IDC MarketScape Worldwide SaaS and Cloud-Enabled Sales Tax and VAT Automation Applications 2019

Analyst Report

IDC’s Quick Take On Sovos Use Tax Manager

On March 5, 2018, Sovos announced a new cloud solution for use tax. The solution automates use tax determination for purchases. The product was demonstrated at the SAP Ariba Live event which was held March 5-7 in Las Vegas, Nevada. The announcement adds more fuel to the rapidly growing cloud tax automation software market.

Latin America Is Setting the Bar for Shared Services

Why Shared Services in Latin America is Fundamentally Different from the Rest of the World

As companies around the world look for ways to make shared services even more efficient, they should look toward Latin America, where government regulations are necessitating that companies set the bar for innovations.

As a result, shared service departments in Latin America are setting a new standard in automation, error reduction and efficiencies, making these departments a model for shared services centers worldwide.

SAP® in Latin America: Top 10 Implementation Hurdles

Mandated e-invoicing and tax reporting requirements in Latin America make SAP implementations in this region more complex than anywhere else in the world. Here, we examine the Top 10 Hurdles to Implementing SAP in Latin America.

Unclaimed Property Payment Methods by State

What is the difference between ACH and Wire Transfers?

ACH payments are deducted from your bank account, usually within one business day. A bank processes all incoming ACH payments in one batch process each night. If you use ACH, make sure to initiate it at least one business day prior to the state’s filing deadline.

Wire transfers happen in real time and are handled on an individual basis.

Five Factors Driving Financial Institutions toward a Centralized Tax Solution

Financial institutions are moving toward a centralized tax solution, but why? There are five major drivers.

Executive Summary: Reducing the Impact of Sales and Use Tax Compliance in the New Retail Environment

Aberdeen Group survey report reveals complex challenges retailers face today in sales and use tax compliance and provides a roadmap to navigate the increased complexity to come.

Spain SII eLedger

On 1st July 2017 the Spanish Tax Authority (AEAT) introduced the Immediate Supply of Information (SII) on
VAT – request of purchases invoices, sales invoices and intra-community operations within 4 days of issuing and capital assets annually. Suddenly more than 60,000 companies have become obliged to adapt
technology and adjust current Tax process and IT infrastructure to comply and avoid penalties

Based on Sovos’ previous experience in countries where this kind of mandate was adopted and followed by the successful results of the first quarter and AEAT updates, Spain SII will continue to improve and expand its geographic, information and companies in scope.

eInvoicing Italy

The 2018 Italian Budget Bill requires, starting January 2019, that companies operating in a business-to-business environment submit and approve/reject electronic invoices for goods and taxable services through the government’s electronic invoicing platform, the Sistema di Interscambio (SDI).

This represents a drastic change in finance, accounting, compliance and reporting processes which demands technology. Luckily, Sovos was built for that.

Datasheet

Sovos TIR for Netsuite

With the growing complexity of the 1099 reporting space NetSuite has decided to trust independent software vendors, such as Sovos, to support organizations throughout the 1099 reporting process. As of NetSuite version 18.2, NetSuite will discontinue supporting 1099 reporting functionality. Sovos has created a bundle within NetSuite that offers 1099 reporting capabilities. NetSuite will continue to track 1099 vendor information as it has in the past.

VAT Reporting for Finance Professionals

Value Added Tax (VAT) is applied in 165 countries worldwide and although is a tax on the final consumer, companies are the ones with the burden of reporting what they collected and/or paid. This can be very complex and challenging for businesses operating across different countries to manage. 

Ultimately, the requirements in any two countries are never the same, therefore; companies need to be more than compliant, they need to be intelligent and innovative by streamlining tax compliance to manage multi-country requirements. Luckily, Sovos was built for that.

It’s Time to Prepare Your SAP Solutions for the Digital Future of Tax

Technology has transformed your business and your products, and it’s about to change your ERP. But, it’s also transforming tax, and it could have a significant impact on your plans for S/4HANA.

Sovos keeps you ahead by offering the first complete solution for modern tax. And with more than two decades of experience with SAP, Sovos has built its solutions to make sure tax doesn’t disrupt your ERP initiatives.