As the demand for entry-level finance and accounting talent remains high, technology is increasingly seen as a solution to labor gaps and budget constraints. According to the 2024 Global Tax Transformation report by Vertex, tax functions are at the forefront of digital transformations within finance. Seventy-seven percent of the 600 respondents indicated that their tax teams lead in adopting new technologies. However, overall progress in automation remains a challenge, with only half of the respondents reporting significant advancements, hindered by IT support issues (34%), budget constraints (31%), and talent shortages (28%).
Indirect tax processes (56%) and finance processes (52%) are trailing behind in automation. Internal efficiencies (39%) drive tax and finance transformation efforts, alongside cost savings and leveraging data. CFOs are increasingly involved in cross-departmental collaboration and decision-making, with technology offering relief. Over half of finance leaders believe automation can ease these pressures, and 57% noted improved collaboration within finance teams through automation. Keeping systems accurate during digital transformations is critical, with 79% emphasizing the importance of up-to-date tax rates and rules. Nearly half of the respondents expect a positive ROI from technology investments, enhancing forecasting, decision-making, and building future-proof architectures.
