How SAP Reconciliation Automation Supports VAT Submissions

Confidence in VAT reporting depends on how well reconciliations are managed inside SAP. Even though SAP automates much of the VAT process through its month-end transfer and reporting functions, maintaining visibility and control across the underlying reconciliations can still be challenging.

That’s where SAP-native automation adds real value. Rather than changing how VAT submissions are made, solutions like BEST help finance teams validate the accuracy of VAT-related accounts before submission. They help to strengthen control, reduce anomalies, and improve audit readiness.

Why VAT confidence starts with reconciliation

VAT returns are only as reliable as the reconciliations that feed them. While SAP handles much of the VAT processing automatically, the underlying balances depend on consistent reconciliations between the general ledger, subledgers, and control accounts.

When these reconciliations are tracked outside SAP discrepancies can go unnoticed. Timing differences, data extraction issues, or unreviewed exceptions may lead to inconsistencies between VAT control accounts and underlying transaction data.

By managing reconciliations directly inside SAP, finance teams can spot anomalies early, validate balances continuously, and ensure that what’s being reported for VAT purposes reflects accurate, reconciled data.

How automation changes the process

SAP-native automation transforms this process without replacing SAP’s VAT functions. With BEST, finance teams perform reconciliation of ledger accounts and vendor invoice reconciliations in SAP directly within the system.

Every balance, adjustment, and transaction is reflected in real time, giving teams full visibility into the general ledger reconciliation process ahead of VAT submission. Exceptions are flagged early rather than at the deadline. Because automation operates inside SAP, every step is logged automatically as part of the system.

From checking to assurance

The goal isn’t to replace SAP’s VAT functionality. It’s to give finance teams greater assurance that their reconciliations support accurate VAT data. With reconciliations automated and validated inside SAP, teams gain clearer oversight of their balance sheet reconciliation process, fewer timing issues, and fewer last-minute adjustments during close.

Month-end becomes a process of confirming accuracy, not fixing surprises. Because reconciliations are continuously maintained within SAP, every close builds on verified, auditable data so reduce risk and improve consistency across reporting cycles.

Automation as assurance

Being compliant is about confidence in your data. BEST supports this by improving the visibility and reliability of reconciliations across general ledger and VAT-related accounts. For auditors, it provides transparent, system-based documentation. For finance leaders, it provides peace of mind that numbers have been validated within SAP itself. With automation built directly into SAP, teams can better manage the quality and timing of VAT submissions.

The way forward

Modern finance teams need reliability built into their systems. With BEST’s SAP-certified automation you can better manage the quality and timing of VAT Submissions.

Interested in finding out how BEST can support your VAT submissions? Get in contact to book a demo with BEST to find out more.