Sustainability tax services

With urgent environmental and social action needed from business, the tax function has never had a more critical role in accelerating your sustainability strategy and building long-term value. EY Sustainability Tax can help you turn ambitions into action, through a holistic view of your global tax strategy.

What EY can do for you

Complex government policy and growth opportunities around sustainability mean the tax function must move beyond keeping up. It must take the lead in driving a corporate sustainability strategy throughout your entire organization. 

Is your tax strategy connected to your sustainability strategy?

On your sustainability journey, EY teams can help you reach your goals by designing tax frameworks and risk management methodologies to accelerate transition, decarbonize your supply chain, and genuinely green business operations. To support this, we help you stay aware of policy developments and their impact and assist with securing incentives and funding and complying with new tax and non-financial reporting obligations. EY teams insight creates a bird’s eye view of your sustainability strategy, supporting and flexing across your enterprise. This insight allows us to bring in key players at vital stages, sharing our technical and market experience related to the tax, legal, governance and workforce challenges you face during your sustainability journey. 

We bring together perspectives from government, business, non-government organizations (NGOs), and financial institutions to develop new solutions and help you deliver sustainability results to your stakeholders – from investors to employees to your local community. 

The globally connected EY Sustainability Tax team can coordinate domestic and cross border complexities seamlessly. EY teams commitment to value-led sustainability helps us to present your tax story holistically, protecting and creating new value streams for this generation and beyond.

EY’s services include:

  • Sustainability tax compliance and impact assessment

    Carbon measures

    We help you understand the current regulatory framework of carbon pricing (e.g., ETS, carbon taxes) in connection with recent global developments such as the “Fit for 55” package and CBAM. We’ll help you identify impacted products and supply flows, calculate potential carbon costs and the related economic impact, and build your own carbon roadmap.

    Lifestyle taxes

    There’s a growing trend for measures that target healthy consumption patterns through excise taxes, adjusted VAT rates as well as labeling and advertising regulations on certain products or ingredients (e.g., sugar). We can help you uncover the “hidden costs” of these new measures across countries and identify sustainable responses through our holistic assessment.

    Plastic and packaging tax and EPR compliance and impact assessment

    We help you understand plastic packaging and extended producer responsibility (EPR) risks and opportunities, adapt to new compliance regulations and develop your packaging and EPR strategy.

  • Sustainable operating models and transfer pricing

    We support you in designing your operating model to achieve sustainability goals, while meeting tax and regulatory requirements. We consider your business processes, capabilities, key assets, IP, transactional models, and legal entity and tax structures.

    Our impact assessment gives you an initial quantification and evaluation of your global end-to-end value chain, typically by material product line or business unit.

    We seek simple ways to foster sustainable transformation. We do it by developing end-to-end value chain alternatives to reduce costs, manage trade and tax costs, and foster competitiveness and innovation.

  • Tax function transformation

    The changing environmental tax landscape and increased transparency requirements are impacting tax functions and elevating their role within companies. Policies, processes and responsibilities must be reviewed and aligned with the new obligations, with standardized processes embedded throughout your organization. We help you assess the impact on your tax function, mitigate risks and explore opportunities. 

  • Tax transparency and ESG reporting

    Tax is key to ESG reporting as most of the mandatory and voluntary frameworks require tax disclosures. We make the complex ESG tax reporting landscape simpler, assess your tax control framework (tax strategy, processes and controls in place) and help you develop a strategy for ESG tax reporting that considers risks and opportunities. Our professionals help you align ESG tax reporting and tax planning, assist you with ESG tax disclosures and assess the tax impact on ESG ratings. 

  • Workforce risk-sustainability

    Due to increased regulation of labor and corporate sustainability policies, workforce-related compliance is key. EY provides integrated services to meet your needs in mobility, regulatory and risk, compliance and regulatory analysis of immigration and travel risk, tax and employment compensation, social security, work environment and other core employment terms and conditions. 

  • Sustainable location assessment

    We help you unlock strategic and sustainable investment projects through our range of location analysis, financial and incentive services. Our sustainable location assessment modeler facilitates location decision and documentation and considers key elements including carbon footprint and ESG strategy. 

Together, we’ll make sustainable taxes part of how you do business and how you make your business more sustainable. 

Explore the full breadth of our value-led sustainability and ESG services at EY Sustainability.

The EY Green Tax Tracker

 

Keep up to date with sustainability incentives, carbon regimes and environmental taxes.

The EY Green Tax Tracker helps you monitor evolving sustainability tax policies across the globe.

Find out more

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