Businesses have been urged to automate their tax compliance processes to reduce the risk of costly errors and penalties, as tax authorities intensify enforcement and adopt more technology-driven systems.
A partner at PwC made the call at a recent forum with business leaders, noting that manual and fragmented tax processes expose organisations to compliance gaps, inaccurate filings and delayed remittances. According to the PwC partner, these shortcomings often result in avoidable financial losses, reputational damage and strained relationships with regulators.
The partner explained that automation enables companies to improve accuracy, ensure consistency in tax reporting and respond more quickly to regulatory changes. By integrating tax functions with enterprise systems, businesses can achieve better data visibility, real-time reporting and stronger internal controls.
“With increasing complexity in tax laws and reporting requirements, relying on spreadsheets and manual reviews is no longer sustainable,” the PwC partner said. “Automation helps organisations stay compliant, reduce human error and free up resources for more strategic decision-making.”
The PwC partner added that tax authorities in Nigeria and other jurisdictions are increasingly leveraging digital tools to monitor compliance, making it imperative for businesses to align their processes with these developments.
While acknowledging the initial cost of adopting tax technology, the partner stressed that the long-term benefits outweigh the investment, particularly in terms of reduced penalties, improved efficiency and enhanced governance.
Businesses were therefore encouraged to assess their current tax compliance frameworks and adopt scalable digital solutions that can support growth and ensure full compliance in an evolving regulatory environment.
