The project “PJSC Aeroflot Data Mart for Tax Monitoring” has been recognized the best project of 2018

The developed solution attracted immense interest of IT community that highly appreciated the “Data Mart” functionality and the economic effect its implementation has provided. In total, over 2,600 experts were polled. The award ceremony was held on 30 January 2019 in Moscow. Due to the growth in uplifts and an increase in the number of passengers, the amount of documents managed by PJSC Aeroflot and requests from tax authorities has increased. Exchange by paperwork that consists of hundreds thousand documents increased the expenses of the services involved. The initiative for interaction with taxpayers developed by the Federal Tax Service of Russia, namely, the new form of tax control, i.e., tax monitoring, significantly simplifies and speeds up the preparation of tax reports and improves their quality.  Having estimated the advantages of that initiative, Aeroflot made the decision to join it by using a high-tech solution for reporting automation.

PJSC Aeroflot’s Accounting Department was the main customer. It is this structural unit that is in charge of issuing tax reporting and maintaining communications with tax authorities. As part of the project, the Accounting Department developed a control procedure matrix in accordance with the tax declaration lines. The procedures themselves are performed by all structural units of the company.

The project has been implemented by experts of SAP Digital Business Services, RAMAX Group, and PwC. Accounting and IT experts were involved in the project on  Aeroflot side. To attain the specified goals, an information data model was developed that allowed one to instantaneously generate tax indicators and declarations. Reporting on all tax types was unified to a common format and streamlined according to the new data hierarchy. The developed methodology was approved by the Federal Tax Service of Russia; all regulatory norms were complied with, and options to make enhancements and changes were provided.  Taking into consideration all the recommendations made by the Federal Tax Service of Russia, Aeroflot has implemented the unified platform “PJSC Aeroflot’s Data Mart for Tax Monitoring”. Owing to well-organized cooperation within the team, the project was implemented in mere 6 months.

“The project is the most urgent one and corresponds to modern trends to digitalize business processes and establish transparent relations with tax authorities.  No less important role than technology is played by political factors since interaction with the Federal Tax Service of Russia assumes high standards of data security. The developed “Data Mart” combines a variety of heterogeneous technologies and is a unified digital tool for storing and exchanging data to fulfill obligations to tax authorities,” - says Kirill Bogdanov, PJSC Aeroflot’s CIO.

According to Nikita Zhuravsky, head of the department of financial solutions of RAMAX Group, “the developed solution virtually instantaneously responded to all of the customer’s expectations.   One can already speak of spectacular efficiency indicators: the expenses on tax administration were optimized by 7%, the number of requests from tax authorities decreased by 40%, and the amount of submitted paperwork diminished by a factor of 5 compared to the similar period in 2017. “Data Mart” is a cross-industry solution that may also help other market actors improve their relationships with tax authorities.”