EY
The Future of
Tax Compliance
How a unified compliance platform can fundamentally transform international tax delivery, reduce compliance hours by up to 90%, and redefine how EY serves its clients.
ITqS Technology Compliance | Executive Briefing
Prepared for Senior Leadership | April 2026
Executive Summary
The compliance process works. But it doesn't scale.
Today's international tax compliance process is functional but fragile. It depends on disconnected tools, manual handoffs, and Excel-based workflows that limit transparency, create risk, and consume thousands of hours each cycle.
⚠
The Problem
Eight sequential compliance stages executed across siloed Excel tools, with manual data transformations at every handoff between EY US and GDS teams.
💡
The Vision
A single, transparent compliance platform where every calculation, every diagnostic, and every sign-off lives in one auditable environment.
📈
The Impact
Up to 90% reduction in compliance hours. Full end-to-end visibility. Formal sign-off gates that eliminate ambiguity in ownership.
Today's Reality
Eight steps. Dozens of tools. Zero integration.
Each tool operates independently. Data must be manually extracted, transformed, and re-entered at every transition. There is no single source of truth.
1
Filing Requirements + Ownership
  • Control Log
  • Disclosure Tool
2
Calculate E&P + Taxable Income
  • EP Workpaper
  • FX Rate Tool
Catalyst Diagnostics (XML)
3
Intercompany Analysis
  • IC Matching Tool
  • Look-thru
  • Sch M/N, Eliminations
4
Sec. 163(j) Limitation (CFC)
  • OIT/CTX -- non group election
  • OIT/CTX -- group election
  • ITS Engine
5
Calculate Subpart F
  • OIT/CTX ITS module
  • ITS Engine -- MGI Bolt-On
OIT System Diagnostics
6
Calculate GILTI
  • OIT/CTX -- non high tax
  • OIT/CTX -- high tax
  • ITS Engine (HTE realloc.)
7
Foreign Tax Credit + FDII
  • ITS Engine (Data Connection)
  • OIT TBBS + supplemental WPs
Catalyst Diagnostics (XML)
8
Finalize Return
  • Tax Return Analyzers
Each of these tools operates independently. Data must be manually extracted, transformed, and re-entered at every transition. There is no single source of truth.
The Case for Transformation
Incremental fixes
will not close the gap.
The constraints are structural, not operational. Improving any single tool still leaves the fundamental architecture broken.
Better Excel templates
Does not solve single-user limitations, version control, or the inability to connect workbooks across stages. The ceiling is the tool itself.
More training on OIT/CTX
Does not address the fact that OIT/CTX modules are disconnected from upstream workpapers. The data transformation problem remains. There are no diagnostics in this tool.
Adding more reviewers
Does not create transparency. More people reviewing siloed workbooks still produces siloed reviews. Scale multiplies the problem.
The fundamental shift required:
Move from a collection of disconnected tools to a single integrated platform where data flows automatically, diagnostics run continuously, and every stakeholder sees the same truth.
Side by Side
From fragmented to unified
Today
❌
15+ disconnected Excel tools and OIT/CTX modules
❌
Manual data extraction and re-entry at every stage
❌
Status tracked via email and verbal updates
❌
Diagnostics run at Step 8 and cascade back
❌
Sign-offs tracked informally with no audit trail
❌
Single-user Excel workbooks limit concurrency
❌
No centralized entity hierarchy visualization
❌
Compliance knowledge trapped in individual heads
→
Tomorrow
✅
One integrated platform with 8 tool workspaces
✅
Data uploaded once and flows to all downstream tools
✅
Real-time lifecycle dashboard with progress tracking
✅
Diagnostics run continuously at point of data entry
✅
Four-step enforced sign-off workflow with audit trail
✅
Multi-user platform accessible by all team members
✅
Interactive org chart with entity drill-down
✅
Integrated compliance chat with contextual guidance
The Redesign
Today's process vs. tomorrow's platform
Six workstreams. Each one transformed from manual execution to AI-augmented delivery.
CL
Entity Structure
Control Log
Today
Manual template population from client files
Tomorrow
AI processes org charts, XML, 10-K with confidence ratings
Intelligent Extraction
-90%
EP
Financial Info
E&P Workpaper
Today
Manual TB coding, E&P adjustments, industry calcs
Tomorrow
AI assigns accounts and sourcing; auto-generates formulaic updates
LLM Categorization
-70%
IC
IC Transactions
IC Matching
Today
Sub-ledger extraction, manual FX, US tax classification
Tomorrow
Pulls FX + ownership from tools; flags review areas automatically
NLP Entity Resolution
-90%
AZ
Review
Catalyst / Analyzers
Today
Load XML to Catalyst; download files with 100s of diagnostics
Tomorrow
API call pulls OIT/CTX + ITS data; ranks and summarizes diagnostics
Dynamic Dashboards
-90%
SF
SubF / FTC
ITS Engine
Today
Manual WP review, re-entry of allocation keys in OIT/CTX
Tomorrow
Automated PY comparison; flags amounts for review only
Predictive Analytics
-62%
DT
Disclosure
Disclosure Tool
Today
Manual source review to populate whitepaper templates
Tomorrow
AI evaluates memos, 10-K, org charts with pre-populated data
Gen AI Knowledge Base
-90%
The Future State
What the platform enables
that is impossible today
🗃
Centralized Data + AI Ingestion
Entity listings, org charts, XML, and 10-K footnotes processed once by AI. Intelligent document extraction and LLM categorization replace manual templates.
📊
Unified Dashboard + Dynamic Review
All 8 workstreams in one view. Platform pulls OIT/CTX data via API integration, ranks diagnostics by severity with intuitive drilldowns.
🔎
Continuous Diagnostics
EY suite of Return Analyzers run at point of entry. Issues surface immediately. Automated PY comparison flags anomalies.
✍
Sign-off + Transparency
GDS Preliminary, GDS Final, US Preliminary, US Final. Four enforced gates with full audit trail. EY US, GDS, and client stakeholders see the same real-time status.
💬
Gen AI-Powered Intelligence
Gen AI knowledge base for disclosure. AI-supervised learning for categorization. Formulaic updates auto-generated; exceptions flagged for review.
🗣
Compliance Chat
Real-time chatbot assistance drawing from EY knowledge base. Teams get instant answers to compliance questions based on authoritative guidance.
Hours Impact
Where the hours are before and after
The outer ring shows current hours allocation. The inner ring shows the reduced state after redesign. The table details each workstream.
79.5%
Total Reduction
Current (outer)
After (inner)
WorkstreamCurrent HrsAfter HrsSavedReduction
Key Takeaway
The largest hour pools -- E&P Workpaper and Review/Catalyst -- see 70-90% reductions through AI-driven categorization and automated diagnostic ranking. Four of six workstreams achieve 90% savings.
Impact & Next Steps
The value is measurable. The transformation is within reach.
79.5%
Total Hours Reduction
477K hrs saved on 600K baseline
90%
Peak Savings (4 workstreams)
Control Log, IC, Review, Disclosure
1
Single Platform
Replacing 15+ tools
4
Enforced Sign-off Gates
Full audit trail per stage
Why ITqS is uniquely positioned
  • 1
    We designed the current process.
    ITqS built and operates the 8-stage compliance workflow. We understand every tool, handoff, and failure mode.
  • 2
    Working prototype, not a pitch deck.
    Control Log, E&P Workpaper, IC Matching, Tax Return Analyzers, and dashboard are functional today.
  • 3
    AI-augmented, not AI-replaced.
    LLM categorization, intelligent extraction, and supervised learning accelerate human judgment.
  • 4
    Transparency.
    Real-time visibility into filing status, diagnostics, and sign-off progress across all stakeholders.
Next Steps
01
Review the Prototype
Walk through the live dashboard, tools, and analyzers.
02
Align on Scope
Define the first client deployment. Prioritize by impact and readiness.
03
Fund the Build
The foundation is proven. What remains is execution and scale.
Work Plan
How we make this happen
1. At a Glance — Key Considerations
Timing
Target: End of Filing Season
Cost
$25K – $30K / month
Resources
ITqS core + GDS support
2. Funding — Cost / Token Burn
Monthly Technology Fees
Estimated $25K – $30K / month covering infrastructure, API token consumption, and platform token burn.
API Token vs. Factory Token
Direct API token costs (LLM inference, data connectors) are separate from Factory platform tokens. Both budgeted as recurring expenses.
3. Key Issues & Risks
  • a
    Governance
    Clear ownership, decision rights, and escalation paths for platform changes and data integrity.
  • b
    Manual Effort That Remains
    Calculated E&P adjustments stay manual. Items brought in separately need defined handling.
  • c
    Design (GCR / BTC Involvement)
    If GCR or BTC are involved, scoping and coordination become critical. Partnership alignment required early.
  • d
    OIT New Standups / Changes
    Define integration strategy to stay in sync with OIT roadmap and accommodate ongoing changes.
Compliance Transformation
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