DELIVERED automated tools and real-time dashboards for proactive monitoring and timely tax compliance updates
ENSURED seamless collaboration between internal teams and our tax experts through secure communication channels
MAINTAINED a centralized, audit-ready repository of tax filings and documentation for future reference
Client
Large, national healthcare provider in the U.S. with over 100 facilities
Scope of Work
Hospital and clinic operations, medical billing, patient care services
Geography Serviced
North America
Industry Serviced
Healthcare
Client’s Challenges
Decentralized operations, resource constraints, complex regulations, and heightened audit risks -- a constant roadblock for accurate and timely tax compliance.
The healthcare provider faced several challenges in managing tax compliance effectively, including navigating complex state and federal regulations specific to the industry, such as Medicaid / Medicare reimbursements and tax exemptions, which required specialized knowledge. With over 100 semi-independent facilities across the U.S., decentralized operations led to inconsistencies in tax filings and increased the risk of errors. Limited internal resources further strained the finance team during peak filing seasons, making it difficult to meet deadlines while ensuring accuracy. Additionally, the complexities of healthcare-related filings heightened audit risks, exposing the client to potential penalties and regulatory scrutiny.
Impact Generated
Through our tailored approach, Cogneesol delivered significant improvements in the client’s tax operations:
- The automation and oversight of our expert tax team led to a 25% reduction in tax compliance errors, ensuring the client’s filings were accurate and aligned with healthcare-specific tax regulations
- By integrating cloud-based systems and streamlining workflows, the client reduced the internal time spent on tax tasks by 20%, allowing their finance team to focus on higher-priority activities
- Our solution reduced the time taken for tax filings by 15%, ensuring the client met deadlines and avoided penalties or late fees
- The client's audit risks were significantly minimized, as the tax team ensured consistent, accurate filings and provided the necessary documentation for all regulatory requirements
Cogneesol’s Solution
Drawing on our deep tax experience, Cogneesol’s team led a diagnostic approach re-drawing a comprehensive, tailored solution for the client combining deep sector expertise, cutting-edge technology.
Phase 1: Diagnosis and resource deployment
- Identified gaps in navigating healthcare-specific tax regulations, decentralized operations, and resource limitations
- Assigned a dedicated team of tax experts with deep knowledge of Medicaid / Medicare exemptions, hospital deductions, and state-specific rules to work for this client
Phase 2: Centralization and process standardization
- Integrated regional finance departments into a centralized support system, ensuring consistent compliance across all 100+ facilities
- Mapped existing processes, and established a uniform framework for tax filings
Phase 3: Technology integration
- Deployed advanced healthcare tax software to automate the filing process, reducing errors and ensuring adherence to regulations
- Implemented a cloud-based data aggregation platform to centralize tax-relevant information, enabling real-time data accuracy and accessibility.
Phase 4: Workflow optimization and communication
- Designed a tax filing dashboard for real-time progress tracking and timely submissions
- Set up secure communication channels to streamline coordination between internal teams and external experts
Phase 5: Risk mitigation and compliance assurance
- Introduced tools to continuously verify filings against updated federal and state regulations
- Established a detailed audit trail with transparent documentation, ensuring readiness for regulatory reviews and minimizing audit risks.
