Corporate Tax Executives And CFOs – Valuable Insight Of What Is To Come For Multinational Corporations

Corporate Tax Executives And CFOs - Valuable Insight Of What Is To Come For Multinational Corporations

Recently, as I was reaching out to one of the many retired tax luminaries in Silicon Valley with an important question for him. I asked, “What advice would you give the rising new generation of tax executives and CFOs? His response is valuable; I hope you will pass this on to everyone you know in the tax and financial profession.

As the CEO of www.taxconnections.com, I believe it is an indicator of what is to come in the future of the United States business.

Prior to reading this letter, for the record, many corporate tax executives call me by by nickname Kitty. Here is the letter received today that is an eye opener from a seasoned and now retired tax executive.

Dear Kitty,
It was very nice to speak with you this afternoon. A surprise to hear your “million dollar voice”.

Attached is the WSJ article “Companies Bring Profits Back To U.S.” from 6/21/2020 explaining that the $124 Billion in cash was brought back into the U.S. in Q1 and that $851 Billion in cash was repatriated in 2018. The article got its information from the Commerce Department and that information is probably underestimated by many times.

I have explained to friends and consumers in the U.S. who were buying iPhones, tools, electronics, clothes, fast food hamburgers, books, etc. from foreign affiliated sellers of those U.S. companies that revenue from those sales, and manufacturing and jobs went outside the U.S. But, with Trump’s lower tax for U.S. businesses, that trend is reversing. Now, U.S. companies want to generate U.S. revenue subject to the lower U.S. taxes, not foreign revenue. Additionally, there are now penalty taxes for continuing to generate revenue outside the U.S. In order to achieve these benefits, tax planning has changed from when I did it. These changes help the U.S. economy and return jobs to the U.S. and bring manufacturing back to the U.S. But more than ever, CFOs need tax people to plan, execute and achieve these benefits. See reshorenow.org for a list of thousands of U.S. companies reshoring, a lot of household names.

So while the accounting disclosures, and potential penal digital taxes in Europe are restrictive, creative tax planning is still critical to the bottom line, EPS, and cash planning.

Anyway, glad to have spoken with you.

Take care.
Paul T. Sakai

MORE FROM KAT JENNINGS: I predict that all the money flowing back into the U.S. by major corporations will create a positive impact on the economy and the future of jobs in the U.S.
Retired tax luminaries like Paul Sakai have a real world perspective and valuable insight to share and we should listen to them. This is precisely why I seek out experienced tax executives and CFOs who will take the time to share teachable moments with our tax and finance leaders in U.S. corporations. Contact kat@taxconnections.com to share your perspective on corporate tax issues.

Kat Jennings, TaxConnections, CEO and Founder and Advisory Team provides three areas of services: 1) Internationally recognized, retained executive search services for multinational corporations, public accounting firms, and law firms; 2) Introductions of sellers to buyers of small and medium size accounting firms; and 3) Provide brand building and education services that support and prepare accounting firm owners to buy/sell an accounting practice. We focus on educating the journey to sell a practice and how to increase firm revenue prior to any sale. Our program ensures you start years prior to a sale by learning what is expected of you during the selling process, and introducing firm Partners to cross selling opportunities that are easy to implement and reduce your workload at the same time. We introduce you to value added connections to smartly grow revenue in your accounting practice.

Kat Jennings has been retained by organizations worldwide to locate tax professionals with highly specialized tax knowledge and expertise. She has a thorough understanding of the tax business community, with a proven record of stellar performances matching professionals with organizations. Bringing two parties together to work successfully is the art of understanding personalities, cultural fit, expectations by both parties, flexible or inflexible work environments, understanding what drives and motivates each party, and revolves around the personality and ethics of each executive team.

Kat is a widely recognized expert in high level, tax executive search, as well as connecting buyers and sellers of accounting firms. TaxConnections provides and educates small to medium size accounting firms owners and Partners how to prepare and sell their firms so they can build a succession plan for their retirement. With larger firms seeking to acquire smaller accounting practices, there is a real need to help firm owners prepare to be acquired. Most firm owners are unaware they are not ready to sell when they decide to retire. TaxConnections educates firm owners’ what they need to do years in advance of selling an accounting firm practice.
Senior tax executives expect the utmost privacy when being introduced to multinational organizations about a new tax opportunity under consideration. Having said that, companies searching for a new head of tax expecting tax executive candidates to submit their resume through a resume portal, will never see a full slate of outstanding tax executives available due to a candidates’ desire for greater privacy. This is why privacy focused Uber Tax Recruiters consistently outperform in-house recruiters on tax executive searches.

We offer our clients a Performance Retainer Agreement arrangement so their HR department can still recruit and compete with the tax candidates we present on Head of Tax searches. The client pays us a partial fee upfront, and if they find a candidate they deem better than we introduce to them, we forfeit the final fee. Most of the time, they love and prefer our private introductions to tax executive candidates better than what they source through their own resume portals.

When we represent selling/buying small to medium-sized firms, firm owners/partners also demand greater privacy when considering the sale of their practice. TaxConnections provides a safe place to discuss their business needs, elevate their practices’ online reputation, and increase revenue through new streams of business development by outsourcing work and partnering with other firms. Over three decades, we have worked tirelessly to build relationships between firm owners most organizations rarely have access to in the world of tax. There are numerous possibilities you may never have considered previously to bolster the value of your practice and service offerings.

As a globally recognized consultant to multinational organizations, accounting firms, and law firms searching for tax expertise, Kat has been retained by public accounting firms, law firms, and corporations worldwide including Apple Computer, AC Neilson, Accenture, Agilent Technologies, Allergan, Alza, American Express, American Media, Aon, Baker & McKenzie, Barclays Bank, Bechtel, Cargill, Carl Zieuss Vision, Century Aluminum, Chevron, Clorox, Citigroup, Commercials Metals, Constellation Energy, Countrywide, Del Monte, Deloitte Touche, DFS, DLA Piper, E&J Gallo Winery, Electronic Arts, Ernst &Young, Fox Entertainment, Fremont Investments, General Electric,General Motors, Herbalife, Hewlett Packard, Hyatt, Intel, Jones Lang LaSalle, Kimco Realty, KLA Tencor, Koch Industries, KPMG, Levi Strauss, Liberty Mutual, LKQ, Loews, Logitech, Lucas Film, Maersk, McKesson, Nalco, Newell Rubbermaid, Nissan, Oracle, Orbitax, Pacific Gas & Electric, PwC, QAD, SAIC, SanDisk, Sanmina, Sempra Energy, SONY, Synopsys, Ticketmaster, Trimble Navigation, Toyota, Univar, Wal-Mart, Wells Fargo, Vertex, Yahoo, Xilinx, and many more not listed here.
Contact Kat at 858,999.0053 Office/858.232.4415 Cell or kat@taxconnections.com to request a private consultation regarding the sale of your practice, adding top talent to your organization, or merging your practice with another firm owner with a book of business. The possibilities are endless; if you have a dream of a new vision for your professional life; we will scout opportunities throughout the market to make it happen.

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