Loyens & Loeff

Tax Assurance & Tax Control Framework

Risk management has become one of the top priorities of enterprises, and so has tax risk management for the enterprises of their tax departments. These departments have the increased responsibility to manage and anticipate (potential) tax risks and have become (co-)responsible for the requirements these enterprises have to meet in this respect on the basis of among others Financial Accounting Standards (FAS) 109, International Accounting Standard (IAS) 12 and FASB Interpretation No. (FIN 48).

In addition, enterprises that have concluded or would like to conclude a compliance agreement (‘handhavingsconvenant’) with the Dutch tax authorities need to have a tax control framework. Such tax control framework includes among others a determination and description of an enterprise’s tax strategy, tax department and tax related processes, determination of who is responsible for what tax matters, a tax risk analysis, the implementation of relevant controls and policy as to the use of the information obtained with these controls and last but not least a periodical up-date of the tax control framework.

We have a special team focusing on the advisory services related to the requirements that enterprises have to meet under among others FAS 109, IAS 12, FIN 48 and the implementation and updating of a tax control framework. This team works in close cooperation with independent providers of (tax) risk management, (corporate) governance and compliance systems.

Link to Horizontal supervision & compliance agreements.