Tax jurisdictions and authorities are increasing their global focus in all aspects of tax risk, most recently promoting Beneficial Ownership transparency rules and other initiatives at the G8 Conference. Conversely, multinational tax teams should also be increasing their resources, and time spent, on addressing global tax risks, enhancing internal governance including a Tax Risk Framework / Policy, scenario planning, and informing the business.
We can view this correlation as the increased significance of tax risks, including reputational risk, compared to tax resource allocation for risk governance. It may also be beneficial to distinguish internal and external tax resources used in the risk methodology. The comparison may provide interesting results, from which the proper emphasis could be used to form additional Best Practices. This comparison could also be viewed in contrast to tax compliance and other tax projects for additional perspective.
I invite your comments on this thought, and Best Practices that you can share.