Navigating mobility taxability

A few months ago, we hosted a webinar with Eric Loff, president of Global Tax Network (GTN). In that session, he touched on a wide range of tax topics. From return to office (RTO) policies to digital nomads and international remote work, we explored how companies are changing and how GTN is supporting them as they encounter never-before-seen issues with mobility tax compliance. Eric also outlined the top tax risks that global mobility programs are facing today, especially for non-traditional and short-term works scenarios that are becoming more common for companies.  

If you missed that webinar, you should definitely go watch the recording. 

Today, we're bringing you an update from the same source. GTN's recent article “Navigating Tax Busy Season: A Comprehensive Guide for Mobility Managers” is a must-read for relocation experts right now. It covers the key steps and best practices to optimize your mobility program, evaluate your partner needs, and equip relocating employees with the tools and knowledge they need for “stress-free” tax filings! 

Here are GTN's 6 key areas for navigating mobility taxability:

1. Evaluate your mobility program: GTN offers a checklist for doing this, but we would encourage you to connect with your immigration and relocation management partner to also get additional support as you evaluate the program.
2. Create a framework for global expansion: A global program needs to have defined policy approaches, formalized and documented payroll processes and reporting, and the proper partners in place to support compliance from beginning to end.
3. Choose the right assignment structure for your mobile employees: This is where global mobility can strategically advise the rest of your company, as you find the best ways to support talent around the world.
4. Build a strong foundation for your mobility tax program: This includes properly budgeting up front, having a tax policy in place, aligning internal stakeholders, establishing communication channels, providing tax counseling for relocating employees, and properly tracking and reporting global payroll expenses. GTN has a neat infographic on this topic!
5.  Equip your mobile employees for tax season: Guides, articles, checklists, and prompts need to be made available well in advance of tax season and pending due dates. Check out the GTN tax resource library for a great place to start.
6. Plan ahead to conquer tax season: Having the year laid out in advance makes things less stressful and prevents anything from sneaking up on you. Documented processes and calendars for the year are essential. Hold kickoff meetings as parts of the process start and then evaluate the results to see what needs to be adjusted! Most programs with assignees in multiple locations around the world also need to have a strong process for global compensation collection.

For additional reading on the topic of mobility tax:

Understanding the foundations of mobility tax

Take time to evaluate your expatriate tax program

Global mobility and adjusting to increased tax risks