Design and Implementation of gatewate to prevent tax costs

Client Problem Statement

  • Client incurring substantial tax costs (USD 6M p.a.)due to incorrect cross-border charges from its overseas associate companies

Recommended Solution

  • Perform Root-Cause analysis
  • Design and implement tools and processes to prevent these incorrect charges from being charged


  • Root-cause analysis revealed lack of systemic checks to prevent incorrect costs being charged by affiliates. Though these charges were getting rectified annually, by then substantial tax costs in India were getting paid
  • A detailed design to implement preventive systemic checks was made and presented to senior management for approval.
  • Once this was approved, a project team was formed to implement the design through technology intervention.
  • Various stakeholders who were getting impacted were informed and a change management team to socialize the change and address user issues was put in place
  • Data conversion issues prior to project go-live were identified and addressed
  • A post-implementation stabilization team was formed to monitor project progress and address any teething issues


  • Project delivered successfully with all user issues addressed
  • Project delivered an annual cost saving of USD 6M for India.
  • Project also improved compliances with tax regulations reducing risks of penalties