July 19, 2012:
Global Tax Network (GTN) has released a list of ten (10) measures that firms HR departments should consider implementing to ease the pain associated with administering international assignments. These best practices are:
- Have a written tax equalization policy for international assignments
- Have a written compensation policy for international assignments
- Coordinate/interact with the payroll department
- Create oversight for hypothetical withholdings and advances
- Establish budgeting procedures
- Integrate with corporate tax
- Establish a process to select assignees
- Develop repatriation procedures
- Actively manage communication with assignees
As noted by GTN, these best practices show how crucial it is for all departments of a firm to work together in order to facilitate international assignments. Implementing every best practice listed is not necessary for a successful assignment the implementation of just one practice greatly reduces the pain associated with administering international assignments.
For a more in-depth break down of the relevance of these best practices, refer to GTN’s original article.
If you haven’t done so already, take a look at our series on international policy development in our Navigating Relocation newsletter which began in our Summer 2010 issue.
