Automating your VAT reclaim – A Surprising Source of Hidden Cash!

 Written by: Simon Williams, SAP Concur Manager/ Solution Architect, Gavdi Group

According to a survey in 2017 by Vanson Bourne, a highly respected Market Research company, an average business misses out on 54% of the VAT they pay as they do not have procedures or technology in place to recover it – that is a lot of your money stuck with your local tax authority, which is legally and rightfully yours!

At Gavdi, we help, with the deployment of SAP Concur, organisations can reclaim most of this VAT, which goes straight to bottom-line profit. We help you to overcome the problem of correctly extracting the information with minimal manual effort using Concur as a simple solution to do this in a legal and streamlined way. This includes, for example, travel and expenses on items such as VAT on fuel and mileage claims.

Concur Expense Management automates the VAT reclaim rules per expense type, which provides a consistent process to prove tax rule compliance with your local tax authority. As each expense claim is submitted for payment, the VAT data can be added automatically to your ledgers, simplifying and speeding up the reclaim process.

Each country has its own set of tax reclaim rules such that some Expense Types have to be designed to match, Concur can be setup to meet each country requirement.

Concur also makes a clear distinction between ‘domestic’ VAT reclaim and foreign VAT because it knows the country and the currency for each expense entry.  Foreign VAT reclaim usually requires the services of a 3rd party reclaim company which can link directly into your Concur data.

It’s my own personal experience that this single factor can pay for the cost of deploying the Concur solution – if you consider the total VAT reclaim value against what it costs to deploy Concur, you can see the Return on Investment.

If you’re looking for insights on VAT and Tax compliance best practice when it comes to employee expenses, please join us for our upcoming webinar – Automating your VAT reclaim – A Surprising Source of Hidden Cash!

About The Author

Simon Williams, SAP Concur Manager/ Solution Architect, Gavdi Group. Over the past 16 years, Simon has worked on over 100 SAP Concur projects. During the course of this time, Simon has evolved with the entire SAP Concur product portfolio having recognised expertise in SAP Concur Travel, SAP Concur Expense, SAP Concur Invoice, SAP Concur Pay, SAP Concur Mobile and Concur Intelligence. Based in London, Simon has worked in a wide variety of industries and sectors on both local and global projects.

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