Verizon wireless achieves compliance with federal guidelines and improved customer service
Verizon Wireless gets taxation right
Verizon Wireless faced challenges in providing accurate tax assignment throughout its business operations. By implementing GeoTAX, a Spectrum Enterprise Tax solution, Verizon Wireless was able to achieve higher efficiency, compliance with federal guidelines, cost savings, and improved customer service. Verizon now manages tax assignments with an automated solution that integrates with its existing billing and taxation systems.
With a network footprint covering more than 10,000 state and local taxing jurisdictions, Verizon Wireless’s tax management system was losing the company revenue, incurring penalties, and even attracting lawsuits. As Transaction Taxes Staff Manager Vicki Anger explained, the human error inherent in the system, where customers were assigned to taxing jurisdictions manually, meant that “we were overtaxing customers because of errors such as selecting a jurisdiction where there was a city tax, when the customer is in fact located in the county boundary.”
Verizon needed to improve its tax management system. The company wanted a solution that would enable the wireless provider to more efficiently and strategically manage tax assignments, as well as integrate with the existing billing and taxation systems the staff was already using.
Verizon Wireless implemented the GeoTAX solution, which includes an address standardization tool to help ensure accuracy of customer addresses. The solution cleanses and standardizes customer information entered by service staff. This standardized data can then be used to provide accurate tax jurisdictions for each entry.
Additionally, the solution provides quarterly-updated information on changing boundaries. When inconsistencies do arise, members of the tax management staff are able to access individual customer data immediately to resolve discrepancies more quickly, leading to better taxing practices and improved customer service.
“We were able to fully implement these solutions extremely quickly — actually five months earlier than we had planned,” noted Anger, adding that “a key component was availability of on-site Precisely IT staff to ease the transition.”