Transparency and digitalization continue to be key priorities for tax executives around the world, while sustainability is having a bigger impact on organizations in the midst of ongoing regulatory uncertainty, according to the findings of a new survey from Big Four accounting firm Deloitte.
With the majority of respondents anticipating increased public tax disclosures over the next two to three years (82%), tax transparency and reporting remained the No. 1 priority for tax leaders, according to Deloitte’s 2025 Global Tax Policy Survey, which gathered insights from more than 1,100 tax and finance executives across 28 countries.
In addition to stakeholder expectations and voluntary disclosures, a significant number of respondents (81%) said national-level transparency laws are the most influential regulatory force they’re facing.
Concerns about maintaining a well-defined tax transparency strategy have slightly diminished since last year’s survey, with nearly all respondents confirming they currently have one in place. As artificial intelligence-driven analysis increases scrutiny of public country-by-country reporting (CBCR) data, the need for consistent global reporting has never been more critical to business performance, Deloitte says.
“As they grapple with widespread uncertainty, global organizations are focusing on what they can control as the tax function undergoes significant policy shifts with the added complexity of a fast-moving tariff environment,” Amanda Tickel, Deloitte’s global leader of tax and legal policy, said in a statement. “Keeping a pulse on such rapid change can be incredibly challenging. Tax leaders must collaborate across the organization to understand where they are, where they’re going, and how they can get there.”
Advancing technology poses challenges, opportunities
The digitalization of tax remains a top priority globally, with nearly nine in 10 respondents reporting, in their countries, some movement toward the Tax Administration 3.0 model where “tax just happens.” While this model—reliant on advancing technologies—promises greater efficiencies in taxation, optimism about its benefits for businesses has waned year over year.
While AI-driven tax compliance software continues to expand globally as leaders work to keep pace with change, the majority remain cautiously optimistic, with only 29% of tax leaders believing AI will enhance accuracy. At the same time, the survey reveals emerging concerns among some respondents that e-invoicing may introduce more complexity rather than simplification of tax compliance.
The survey report says:
When asked about the introduction of e-invoicing and e-trade/customs requirements, the single biggest impact was identified as the positive of “simplified compliance” (40%). However, when the 2025 responses are compared to those in the 2024 Survey the story looks less positive.
Between the two surveys year over year, optimism about “simplified compliance” has dropped (from 59% to 40%) while the percentage of respondents anticipating “more complex compliance” has gone up (from 10% to 26%). This should raise some red flags for policy makers and tax administrators—the path to full digitalization may not be a smooth one.
The rise of remote and cross-border work also presents mounting tax challenges, with roughly three-quarters of businesses expressing concerns about corporate tax risks, such as transfer pricing, Deloitte says. Still, the survey reveals that mixed working models are here to stay, and two-thirds report increased use of tax incentives to attract foreign talent, particularly in high-skilled industries.
“As global workforce mobility accelerates, businesses must align tax policies with talent strategies to navigate complex regulations,” Deloitte says in the report.
Sustainability becomes a factor
Sustainability has become a key priority for businesses, jumping from No. 5 to No. 3 in the report’s impact rankings year over year. This includes everything from reporting requirements to new and emerging taxes to corporate sustainability initiatives. The majority of respondents (55%) highlighted sustainability as a top priority within their business.
“While global sustainability policy is in flux, there is a strong correlation between demands for transparency and reporting and a growing focus on sustainability that underscores this trend,” Deloitte says.
Most respondents (56%) note that their tax functions are “fully embedded” in developing their current sustainability strategies. The cost of compliance with carbon border adjustment mechanisms remains a significant challenge, particularly in Africa, where respondents (45%) rate it as a major issue. At the same time, only a small portion (36%) are leveraging grants and incentives to offset the costs of their ESG-related investments, while the majority (58%) are only exploring such options.
Tariffs in the mix
One new development in the international tax reform space in 2025 is the emergence of tariffs as an
element in the tax policy mix.
This raises the possibility that tariffs could replace tax measures as major policy levers in the pursuit of global competitive advantage, Deloitte says.
The survey asked respondents about the potential impact on their businesses if increased tariffs or new non-tariffs trade barriers were introduced in 2025. Thirty-four percent of tax leaders said their organization would be “highly impacted,” while 57% said they would be “moderately impacted,” 8% would be “minimally impacted,” and 1% weren’t sure.
The survey report says:
The survey also asked respondents how they would respond to increased tariffs or new non-tariff barriers to trade. Here, no single response option was favored by a majority. Just under one-third are taking tax professional advice as to the implications, closely followed by “increasing prices” (29%) and a consideration to moving production (16%) and/or exporting to other markets (16%).
There was little variation from the average at industry level with the consumer sector being slightly above (39%) and energy, resources, and industrials (ERI) slightly below (28%).
Monitoring and responding to developments in this policy area is likely to be one of the key features of global tax policy in 2025.
“This survey underscores a dual reality in global tax policy—while regulatory requirements and expectations for transparency remain paramount, emerging priorities like digitalization are reshaping, and even complicating, the tax landscape,” said Willem Blom, Deloitte’s global leader of tax and legal. “As the tax landscape continues to evolve, businesses must proactively ensure an integrated approach to bolster long-term growth and success.”
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Tags: Accounting, Deloitte, tax policy, Taxes, Technology
