Partnership structures have become increasingly complex over the last two decades, and partnership tax compliance challenges have followed suit. Expanded investor pools, evolving laws and complicated allocations have exacerbated the need for tax technology that can keep pace.
Meanwhile, as sophisticated investors have come to rely on—and expect—insights derived from data, digital solutions that go beyond the nuts and bolts of tax compliance have become increasingly valuable. Purpose-built applications that automate and analyze data are now foundational to decision making and growth. They have essentially modernized partnership tax compliance, consigning traditional spreadsheet programs, such as Excel, to the museum display case alongside CD players, flip phones and fax machines.
Here’s a closer look at six longstanding tax compliance issues and the modern ways in which tax technology is solving them.
