F2 CASE  |  DANISH TAX AUTHORITY

cBrain has worked with the Danish Tax Authority to reduce instances of fraud and error in the processing of dividend tax refunds

THE SOLUTION

The solution was to provide a digital process with end to end case management and quality control checklists. The incoming claims are processed via two channels – applications from financial institutions and banks applying on behalf of others and smaller volume applications coming from individuals. The process is now managed from receipt of the application through to being ready for payment. Case workers receiving the claims follow a standard operating procedure described in a checklist to ensure that all the right actions are taken. Additional decision support has been provided – the system checks for unusual patterns, or patterns that are known to be indicative of fraud or error. Entitlement checks are also in place to validate ownership of the shares and that tax has been withheld. The Tax Authority used the F2 case management system as the core software, and on top of that configured specific checklists to manage the workflow. But there was also a need to build specific calculation services and integrations to legacy systems in order to manage the complexity of the refund process. The delivery approach focused on running beta pilots to ensure the process checks were in place and accurate, and then to build iteratively on the processes based on the experience of using the system on real cases. Production dashboards were put in place to allow real-time operational views of case volumes and status.

THE BENEFITS

There is now much better oversight over case flow – how many cases there are, what type of cases, and where they sit in the process. Before the system was implemented, 2/3 of all claims were approved. Today, under half of the claims are accepted. The Tax Authority has in figures accepted DKK 1.7 billion and refused DKK 2.1 billion. For internal users, it is now much easier as all the documentation around a case is stored in one place, and there is clear guidance in place on what to do. This means that more time can be spent analyzing the content of the case, rather than simply keeping track of the case information. Adding automated checking has made it easier to identify suspicious cases or those worthy of further investigation. For customers, making the claims process digital has led to a better quality of upfront information – previously, documentation could be missing and needed to be chased which extended processing times. The Tax Authority is also using the system to manage the backlog of cases that built up when the service was paused. But now they know they are in control and can significantly reduce losses to fraud.