University of
Edinburgh
Learn how ARKK reduced VAT
processing times by 70%.
Founded in 1583, the University of Edinburgh is the sixth oldest University in the English-speaking world. It has five main campuses in Edinburgh city, with many of its buildings situated in the Historic Old Town.
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The University of Edinburgh faced significant challenges due to its reliance on Excel-heavy, manual tax processes. Its legacy finance systems were outdated, no longer meeting the needs of a modern tax function. These inefficient processes slowed down reporting, increased the risk of errors, and placed extra strain on the tax team.
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Additionally, inconsistent data across departments made it difficult to fully capitalize on tax relief opportunities. Manual reconciliation and fragmented data sources often led to overlooked savings. A key issue was the struggle to accurately identify all goods and services related to Acquisition Tax and Reverse Charging, complicating compliance.
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On top of these problems, the University had to prepare for future HMRC mandates. However, the current systems were ill-equipped to handle the increasing complexity of tax regulations. The manual approach was not only time-consuming but also made it hard to adapt to new requirements, highlighting the need for automation.
“Because of their size, ARKK were able to be more flexible with how we worked and how we were set up than other potential suppliers we spoke to.”
Future-proof solution
The University’s Head of Tax, Alastair McClelland, wanted to find an effective, MTD compliant solution to not only streamline his team’s VAT processes but also future proof the University for other future HMRC electronic initiatives such as MTD for Corporation Tax. With that in mind, he decided against further developing, building and maintaining an in-house linked spreadsheet solution.
Flexibility
Aside from being resource-intensive to create, there was no guarantee at the end of the process that HMRC would deem UoE's in-house process to be compliant. While Alastair's team looked at some big-named tax technology outfits, it was ARKK that caught their eye. “Because of their size, ARKK were able to be a bit more nimble than other potential suppliers we spoke to. They seemed to be prepared to be more flexible with how we worked and how we were set up”, noted Alastair.
Furthermore, Magda Sidwa-Ciesnikowska, the University’s tax compliance officer, stated that the ARKK Automation Platform was flexible enough to adapt to their tax team’s diverse processes.
From 2 weeks to 3 days
With ARKK Solutions' help, the University of Edinburgh was able to significantly reduce its end-to-end VAT filing time from two weeks to just three days. This dramatic improvement in efficiency was supported by an effective change management programme that facilitated the transition to digital record-keeping, ensuring compliance with modern tax requirements.
Accuracy and efficiency
In addition to streamlining processes, the University gained the ability to more accurately predict the VAT treatment of goods and services, reducing uncertainty in tax reporting. Complex and resource-intensive tax tasks were automated, freeing up staff to focus on higher-value activities like forecasting, training, and identifying future tax relief opportunities.
Future-ready for HMRC
This enhanced system also allowed the University to better prepare for future HMRC mandates. With a more automated and future-ready approach, they could now anticipate regulatory changes and respond to new tax requirements in a timely and efficient manner.