Who is DirectTax?
DirectTax is an independent firm offering international tax consultancy services covering all main tax areas.
How can DirectTax be of added value for my company?
DirectTax provides fit for purpose support in managing a company’s tax function or project by combining in-house experience with the availability of a network of tax specialists. This way you are fully in control without having to worry on all details.
DirectTax operates as a team of specialists
The DirectTax network operates as a team with central coordination of the involved specialists. This could be independent tax professionals, Big4 and Big4+ firms and boutique firms or a combination thereof.
DirectTax’ expertise is based on the in-house perspective and covers amongst others the following areas:
Tax Control Frameworks
In the current business environment, there is an increased desire for appropriate internal controls also in the area of taxation. Given its involvement in implementing and maintaining tax control frameworks, DirectTax is experienced in taking you through all the relevant steps:
- Setting priorities (‘where to start?’)
- Conducting self-assessments (‘how are things done today?’)
- Documenting processes and controls (‘how to make sure today’s efforts last?’)
- Communication with tax authorities
DirectTax is well equipped to address all material aspects of this tax field with ever increasing attention from tax authorities, such as:
- Review of organization’s intercompany transactions in order to arrive at a defensible and operationally coherent transfer pricing methodology
- Assist in the proactive documentation of the organization’s transfer pricing practices to mitigate tax challenges
- Assist in the defence of organization’s transfer pricing practices in the event of tax audits
- Identification and implementation of transfer pricing related corporate tax incentives such as the Dutch innovation box
“It should also be recalled at this point that transfer pricing is not an exact science but does require the exercise of judgment on the part of both the tax administration and taxpayer.”
OECD Transfer Pricing Guidelines, 2017 version, section 1.13
Mergers & Acquisitions
DirectTax has hands on experience in organizing the process of sizeable M&A transactions amongst which one of the biggest deals of 2016 in The Netherlands. Such a process involves project management, due diligence, preparation of the carve-out steps as well as contractual negotiations.
By organizing a proper mix of dedicated specialists, DirectTax assists in unlocking all business savings, whilst safeguarding the potential tax exposures in the mid/long term.
To avoid stranded tax costs such as value added taxes, withholding taxes and alike, DirectTax on-boards experienced tax specialists to assist in the negotiations, which can eventually benefit both contracting parties.
“In a difficult transfer pricing case, because of the complexity of the facts to be evaluated, even the best-intentioned taxpayer can make an honest mistake. Moreover, even the best-intentioned tax examiner may draw the wrong conclusion from the facts. Tax administrations are encouraged to take this observation into account in conducting their transfer pricing examinations. This involves two implications. First, tax examiners are encouraged to be flexible in their approach and not demand from taxpayers in their transfer pricing a precision that is unrealistic under all the facts and circumstances. Second, tax examiners are encouraged to take into account the taxpayer’s commercial judgment about the application of the arm’s length principle, so that the transfer pricing analysis is tied to business realities. Therefore, tax examiners should undertake to begin their analyses of transfer pricing from the perspective of the method that the taxpayer has chosen in setting its prices.”
OECD Transfer Pricing Guidelines, 2017 version, section 1.13
Tax reporting and compliance
With businesses being adverse of having to report on surprises (positive and negative), tax reporting and tax compliance is on the radar of all internal and external stakeholders. By recognizing the upside of proper tax reporting and tax compliance processes, DirectTax has been instrumental in:
- Design and worldwide roll-out (including trainings) of tax reporting tools such as tax questionnaires and tax calculation schedules
- Determination of group tax positions (incl. substantiation towards internal and external stakeholders)
- Set-up of global/regional/national tax compliance processes ensuring timely tax return filings (and other filing requirements such as Country-by-Country reporting)
Which solutions does DirectTax offer?
DirectTax does not offer ‘one size fits all’ solutions. Depending on a customer’s needs and pace DirectTax offers customized solutions such as:
- In-house tax management on a remote and flexible basis.
See Getronics and Interfood reference(s)
- Management of special projects (tax control framework, transfer pricing, business restructurings, M&A, tax audits, tax reporting/compliance, etc.)
See Cordstrap and Frank Imming reference
- Short term/interim assignments.
See Darling Ingredients’ reference
For which companies does or did DirectTax work?
Amongst the companies DirectTax works for are listed companies, private equity companies and family owned companies. DirectTax does not work with a minimum turn-over level. Instead, the company’s international footprint is more relevant.
What is the feedback of these (former) clients on DirectTax?
“Cordstrap engaged Jeroen van Beers of DirectTax to assist us in a transfer pricing project. The involvement of DirectTax stretched from business case preparation, to vendor selection and ultimately providing hands on support during the actual implementation. Together with our internal Tax & Treasury manager and the support of a TP specialist firm, DirectTax directs us to a timely and complete project delivery.”
Willem Zwitserloot, CFO Cordstrap
“I worked together with Jeroen van Beers of DirectTax for several years a.o. in the global tax vendor due diligence and Q&A process for the sale of VION Ingredients as part of the carve out from VION to Darling Ingredients Inc. Also after the sale, during our transition to a permanent solution, DirectTax managed our global tax position on an ad interim basis.”
Johan Roijmans, Vice President Finance, Darling Ingredients Inc. – International Operations
“Since the disentanglement from KPN in 2012 DirectTax manages the Dutch corporate income tax position and monitors the key international tax aspects (such as transfer pricing and country-by-country reporting) for Getronics. In line with our own business model, DirectTax is involved on a remote and flexible basis.”
Daniel Kuiper, Financial Director Getronics
“As part of the finance transformation, I engaged DirectTax as a freelance in-house tax specialist for Interfood. Where we started of with a transfer pricing documentation project, DirectTax now coordinates our global tax position.”
Stan Sweep, CFO Interfood
“Quantera Global and DirectTax have been co-operating on various transfer pricing projects where we combined our strengths to deliver within budget. Most recently, we teamed up in re-aligning a changed business model in a fully documented transfer pricing model. It is a true pleasure to cooperate with DirectTax.”
Rudolf Sinx, Managing Director Quantera Global
“The co-operation with DirectTax goes back to the implementation of a tax reporting cycle for a 1B+ turnover Dutch multinational. DirectTax and The Resource co-managed this project which involved drafting of a tax accounting manual, preparation of tax schedules and extensive internal training sessions.”
Frank Imming, Tax Accounting Specialist The Resource