Cost Accrual Solution
Solutions to assist in identifying, understanding, and accounting for the tax costs of your mobile workforce
Have you ever been surprised by a large tax bill for a mobile employee?
When a company sends an employee on a tax equalized assignment, the company agrees to cover the worldwide incremental tax obligations for that employee due to the assignment. Without proper planning and processes, the total costs for the company or the timing of the tax payments can result in some very unpleasant surprises.
To assist companies in properly anticipating and managing the accounting aspects of its mobile workforce, we will:
Prepare global or domestic tax cost estimates to proactively identity anticipated tax costs associated with your mobile employees
Prepare tax accrual amounts for journal entry purposes and provide training and support to the finance team
Reconcile budgeted to actual tax costs annually (or as needed) to assist with adjustments to the tax accrual accounts
Provide proactive advice regarding anticipated trailing tax liabilities following completion of international assignments
Contact us today to learn more about how we can help.