KPMG's Tax in the Cloud report addresses a number of direct and indirect issues, challenges and opportunities that can arise when adopting cloud services.
Many uncertainties exist around the implementation of cloud, and often the most complex questions are raised around the tax implications of cloud.
Too often, tax impacts are not fully considered at the time that the transition to a new cloud delivery model is being planned and executed. Tax can influence the long term outcomes of planned new cloud projects, and should be included in any business case.
- Significant tax issues for both providers and users of cloud, which are multiplied when the transactions are cross-border.
- Additional scrutiny from Tax authorities who are becoming increasingly aware of the tax implications of the switch from traditional IT service provision and the potential for tax leakage.
- How consideration of the tax implications may well strengthen a long-term business case for cloud and help organisations improve their bottom line performance and their operating effectiveness.