NamateIndia
Close Collaboration Between Sustainability and Tax Teams: A Winning Strategy
When it comes to implementing the Corporate Sustainability Reporting Directive (CSRD), involving tax teams from the outset is crucial. Here’s why:
1. Holistic Risk Assessment: By working together, sustainability and tax teams can conduct a holistic risk assessment. Sustainability risks often intersect with tax implications, and addressing them collectively ensures comprehensive risk management.
2. Materiality Alignment: Tax considerations can significantly impact materiality assessments. Involving tax experts from the start ensures alignment between financial materiality and sustainability materiality.
3. Value Creation: Close collaboration fosters innovation. Tax professionals can identify opportunities for value creation through sustainable practices, tax incentives, and efficient resource utilization.
Remember, it’s not just about compliance; it’s about creating a sustainable and resilient business.
Corporate Sustainability Reporting Directive (CSRD) aims to enhance transparency and comparability of sustainability information across the EU. It expands reporting requirements for large companies and introduces digital reporting standards.
As per European Commission, “Corporate Sustainability Reporting” Directive,” https://lnkd.in/gNmGnygY
Originally published on LinkedIn on 2024-07-23 14:54:53: https://www.linkedin.com/feed/update/urn%3Ali%3Ashare%3A7221528203062910977
