Mergers and acquisitions can – and usually – bring on a host of issues that can affect a company’s bottom line. This was certainly the case during a complex acquisition that required two tax departments located on opposite ends of the country to consolidate into a single location. In the midst of this significant change – along with the loss of personnel and valuable institutional knowledge – the company turned to KSM to help maintain compliance and meet reporting obligations.

KSM was determined to take on the immediate tax challenges while helping the organization rebuild its internal capabilities and knowledge base. We traveled to the acquired company’s headquarters to interview staff, document job duties, and confirm data flow, return processes, software utilization, and tax types. A host of information was gathered and documented through internal and external contacts and conversations with departments essential to the monthly compliance function. We answered a range of questions – from identifying who maintains exemption certifications to determining the process for setting up new returns and whether any audits were currently ongoing.

While the merged tax department focused on unifying its team, we hit the ground running to assist with return preparation and process improvement to mitigate tax exposure. KSM implemented a tax calendar to document and track returns by jurisdiction as well as tax and fee type. This included tax payments, estimated hours for return preparation, complexity rankings, and site credentials to remit payments and submit returns.

We also handled tax notices and negotiated penalty waivers. And we mapped out a plan to ensure a seamless transition of returns from KSM to the merged tax department, sharing what we know to rebuild institutional knowledge and internal capabilities. Detailed end-user documentation provided critical guidance on new and improved processes, and hands-on training delivered key insight on the intricacies of complex tax returns.

Today, the company has a strong tax team along with the tools it needs to be audit-ready, if necessary. KSM maintains an ongoing relationship with the organization and always stands ready to share what we know.