Dealing with VAT is a complex task. Organizing the VAT work-streams is extremely important that involves assessment, service design and implementation, technical analysis, change management, etc. VAT implementation includes a few phases that need to be met by an organization to carry out VAT services. These are:
Phase 1: VAT Impact Assessment
The revenue part is to be drafted and taken care of excluding any new operational cost to the business.
Phase 2: Planning and Implementation
VAT process design is initiated along with new supply chain structures, VAT training materials for the internal management, building IT projects to deliver tax-technical results.
Phase 3: Transition and Output Testing
Sample testing is done on the projects built. Review it from a VAT perspective and develop a trial run-generated VAT report, highlight on the issues found.
Phase 4: Post-Implementation Assistance
Review and cross-check on the effectiveness of supply-chain management and sample transactions, highlight the potential areas in terms of VAT compliance.