Interview with: Basil Pappas, Staff Vice President Tax, WellPoint Inc.
The struggle to minimize costs whilst maximizing cash is turning into a daily battle for tax officers in North America today. Never before have they been asked for such detailed levels of financial reporting and transparency, taking their time away from what they want to do most: saving cash for their company. Basil Pappas, Staff Vice President Tax at WellPoint Inc. recommends automation and innovation, to achieve savings for their organization. A speaker at the marcus evans Tax Officers Summit IX 2010, taking place in Florida, April 25-27, 2010, Pappas shares his thoughts on automation, tax planning and his projections for the future.
What are the most prominent tax issues in North America at the moment and what solutions would you recommend?
Basil Pappas: From the insurance industry perspective, the biggest issue is the continual pressure to be more accurate in the financial reporting aspects of the tax function. We are expected to do more with less. Over the last several years, our profession has gone from one of being planners to reporters; we do not have sufficient time to spend on planning the tax activities of the company, and hopefully saving money on some level.
Automation is a solution. We are trying to automate as much as we possibly can, whether it is tax provision calculations or tax return processing, to help cut back on errors and also speed up the processes. Tax executives should use all resources that are available to them, and there are many ways to save cash taxes at the federal and state levels. I would advise tax officers to have competent people in their team who have the time to actually get in the weeds and look through how subsidiaries are dealing with items. Tax executives could use their ability to change tax accounting methods to save cash taxes on the front end, and defer payments to the government as long as they can.
What long-term strategies would you recommend to tax officers in North America?
Basil Pappas: Hire good people, train them and bring them along. One thing I have learnt over the years is that if you do not have good people helping you, you do not go anywhere. Tax officers need to make sure that they are continually up-to-date on the changes that are occurring in the legislative and regulatory environments. Lastly, people need to be open to change the way they work, and not be afraid to automate or innovate; otherwise they will end up stagnating themselves and providing little value to their company.
What are some of the trends and developments tax officers need to prepare for?
Basil Pappas: In the next three to five years, we will see adverse tax implications on companies in my judgment; as the US deficit gets worse, the tax benefits and cuts of the last ten years will get reversed. I think there will be tax increases at the federal level and at the state level. Cities are strapped for cash too, so they will also try to find a way of getting more money out of companies.
Tax officers will need to be more vigilant in the coming years, and look at proposed legislation from all three aspects: federal, state and local. Federal taxes are expensive, but state and local taxes could be extraordinarily expensive when there is the potential to be taxed on the same dollar twice, if one is not careful.
Contact: Sarin Kouyoumdjian-
Tel: + 357 22 849 313
Email: press@marcusevanscy.com
About the Tax Officers Summit IX 2010
This unique forum will take place at the PGA National Resort & Spa, Palm Beach Gardens, Florida, April 25-27, 2010. Offering much more than any conference, exhibition or trade show, this exclusive meeting will bring together esteemed industry thought leaders and solution providers to a highly focused and interactive networking event. The summit includes presentations on tax planning, staying on top of S.A.L.T. and successful transfer pricing.
For more information please send an email to info@marcusevanscy.com or visit the event website at http://www.taxofficerssummit.com/
Please note that the summit is a closed business event and the number of participants strictly limited.
About marcus evans Summits
Marcus evans Summits are high level business forums for the world’s leading decision-makers to meet, learn and discuss strategies and solutions. Held at exclusive locations around the world, these events provide attendees with a unique opportunity to individually tailor their schedules of keynote presentations, think tanks, seminars and one-on-one business meetings. For more information, please visit http://www.marcusevans.com
All rights reserved. The above content may be republished or reproduced – kindly inform us by sending an email to press@marcusevanscy.com
