Have you ever heard the term “taxologist”? If you thought it was related to taxes (tax in English), you’re correct. However, if you thought it was a tax scientist because of the suffix “logi” originating from Greek (logia) which can mean science or knowledge, then you’re not entirely accurate.<\/p>\n
In reality, “taxologist” is a term derived from the combination of “tax” and “technology.” Some people use the term “taxnologist” to express the same concept, but in the last 5 years, the term “taxologist” has appeared more frequently and been searched for more on Google Trends. So, let’s use the term “taxologist.”<\/p>\n
Thomson Reuters began using the term “taxologist” in 2015 to refer to “a tax professional that excels in the use of technology to maximize tax function effectiveness.” They are individuals who deal with taxes but have a deep understanding of technology, enabling them to efficiently perform their tasks.<\/p>\n
Before delving further, let’s answer the basic question: why should taxes be combined with technology? To answer this, we need to look at history. Civilization has become more efficient and rapidly evolved since the Industrial Revolution. We are currently in the era of the Fourth Industrial Revolution, characterized by technologies such as the Internet of Things (IoT), Big Data, blockchain, APIs, Robotic Process Automation (RPA), Artificial Intelligence (AI), virtual reality (VR), and Machine Learning (ML).<\/p>\n
The business world has become increasingly complex and fast-paced, with technology enabling the emergence of new business models such as the sharing economy (Uber, Gojek, Airbnb), e-commerce platforms (eBay, Alibaba, Tokopedia), electronic payments (PayPal, blockchain, e-money, OVO), and numerous transactions with high volume and speed, leading to the concept of “big data” with its 4Vs (velocity, variety, volume, veracity). Therefore, the integration of tax and technology is key to efficiency and adaptation in the ever-changing business world.<\/p>\n
Moving on to the next question, who needs a taxologist? Let’s take the example of a large retail company with multiple branches and transactions. Imagine a large non-retail retail company with 100 branches spread across various cities. The company conducts millions of transactions annually, with an average transaction value of around $50,000. Each day, they generate approximately 2,730 transactions. The company’s annual revenue reaches about $50 million.
\nHow can they efficiently manage their business administration and meet all their tax obligations? If done conventionally, the company would have to hire many finance staff members knowledgeable in taxation for each branch and the headquarters, incurring significant costs.<\/p>\n
This is where a taxologist comes into play. They are experts who understand both taxation and technology. They can develop solutions using technology to address these challenges.<\/p>\n
Now, the question is how can this company efficiently manage its business administration while fulfilling all its tax obligations? If the company were to follow a conventional approach, it would need to employ over 100 finance staff members well-versed in taxation to manage each branch and the central office, incurring considerable expenses.<\/p>\n
The solution lies in leveraging technology, such as creating a centralized Point-of-Sales (POS) application to record every transaction at all branches. Subsequently, this application can be linked to the company’s accounting and inventory management applications, as well as its employee management system. All of this results in an Enterprise Resource Planning (ERP) system that enables the company to manage all aspects of its business in an integrated manner.<\/p>\n
However, the tax challenges are not yet resolved. A taxologist can integrate tax applications into this ERP system, making it operate automatically. This requires a deep understanding of databases, process automation, and application integration.<\/p>\n
With the assistance of a taxologist, the company can ensure that all tax invoices and withholding documents are correctly generated, financial reports are prepared efficiently, and all tax obligations are met on time. They combine expertise in taxation and technology to create solutions that simplify companies’ navigation of the complexities of the modern business world.<\/p>\n
Therefore, a taxologist is relevant not only to taxpayers but also to government regulators and the industry as technology providers. They serve as a bridge between the world of taxation and technological advancements, helping all parties overcome the increasingly complex challenges of managing tax aspects within businesses.<\/p>\n","protected":false},"excerpt":{"rendered":"
Have you ever heard the term “taxologist”? If you thought it was related to taxes (tax in English), you’re correct. However, if you thought it was a tax scientist because of the suffix “logi” originating from Greek (logia) which can mean science or knowledge, then you’re not entirely accurate. In reality, “taxologist” is a term… Read More »Taxologist, a new role<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"neve_meta_sidebar":"","neve_meta_container":"","neve_meta_enable_content_width":"off","neve_meta_content_width":70,"neve_meta_title_alignment":"","neve_meta_author_avatar":"","neve_post_elements_order":"","neve_meta_disable_header":"","neve_meta_disable_footer":"","neve_meta_disable_title":""},"categories":[3],"tags":[24,23],"_links":{"self":[{"href":"https:\/\/taxologist.biz.id\/wp0\/wp-json\/wp\/v2\/posts\/59"}],"collection":[{"href":"https:\/\/taxologist.biz.id\/wp0\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/taxologist.biz.id\/wp0\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/taxologist.biz.id\/wp0\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/taxologist.biz.id\/wp0\/wp-json\/wp\/v2\/comments?post=59"}],"version-history":[{"count":4,"href":"https:\/\/taxologist.biz.id\/wp0\/wp-json\/wp\/v2\/posts\/59\/revisions"}],"predecessor-version":[{"id":63,"href":"https:\/\/taxologist.biz.id\/wp0\/wp-json\/wp\/v2\/posts\/59\/revisions\/63"}],"wp:attachment":[{"href":"https:\/\/taxologist.biz.id\/wp0\/wp-json\/wp\/v2\/media?parent=59"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/taxologist.biz.id\/wp0\/wp-json\/wp\/v2\/categories?post=59"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/taxologist.biz.id\/wp0\/wp-json\/wp\/v2\/tags?post=59"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}