Revolutionizing Tax Compliant Billing
Today, the transfer of information has evolved from manual, hand delivery to technical networks within the last 50 years. Networks can now easily connect to the Internet and transport information both inside the network and to recipients outside the network. Now—via wireless connection over the Internet—a package in one part of the world with an embedded sensor can be tracked and reported on in another part of the world. The miniaturization and enhancement of technology has opened the door to connectivity on a massive scale via sensors and software that is embedded in a million different ways from inventory to transportation to buildings to mobile devices.
This is Internet of Things, where any “thing” that can be connected to the Internet can be connected to another “thing” that is connected to the Internet via “machine to machine” or M2M technology and software. Logically, this allows massive data exchange and tracking abilities for businesses. However, access to the Internet is controlled by wireless solution providers and companies often pay these telecommunications carriers based on their use of data or connectivity. Many businesses work with a telecommunications carrier on a wholesale basis to facilitate their M2M business. But there are legal, taxes, and regulatory compliance issues in that relationship that can be quite complex, and the carrier is not responsible for guiding their customer on these issues. Businesses may be left in the dark and exposed to penalties, audits or charges of tax fraud because of a lack of guidance. Here is where MODAS Systems enters to make your business life easier.
MODAS Systems provides a full end to end platform to manage business transactions even when they cross state lines. By using MODAS’ platform, compliance and applicable taxes are automatically applied to each transaction. MODAS can provide this extensive processing because they are licensed in every state and the compliance and tax requirements are programmed into their platform to ensure automatic assessment and application of taxes at the point of the transaction. “Our platform provides their clients the full ability to capture the data and bill our retail clients accurately to ensure they are operating their business compliantly and proactively protecting their business integrity,” notes Joel Urano, CEO, MODAS.
Our platform provides their clients the full ability to capture the data and bill our retail clients accurately to ensure they are operating their business compliantly and proactively protecting their business integrity.
Through their research, MODAS has determined that many businesses exposed to these risks are simply unaware of the regulatory requirements. The billing of telecommunications carriers is quite complex already and it is difficult to keep track of the rules, especially when transactions cross state lines. By using MODAS as their back office, businesses can piggyback off of the state operating licenses MODAS has for each state plus pass the risk of compliance to MODAS so they can concentrate on business success, not compliance. This protects the client, the client’s customers, the client’s investors, and tax agencies who are all stakeholders in the telecommunications transactions. In addition, charges against a business for non-compliance can reduce the business’ valuation by as much as 70 percent.
As part of its mission, MODAS Systems is implementing a consulting service to guide and support businesses in understanding their tax and regulatory obligations and increase education on compliance requirements in the M2M space. According to Urano, “In 2017, we are adding a consulting solution to help companies gain a better understanding of the risk they might face or what their customers might face by not being compliant with regulatory requirements.”
See original article here: CIO Review