ARCO Compliance

Changing the Paradigm of VAT Compliance

Built for SAP within SAP

Deployed directly within your SAP environment – no interfaces, no risk, quick and seamless integration

Live Data

Live data breaks the month end scramble allowing VAT teams to be proactive in solving issues

Automated Checks & Validations

VAT data is continuously monitored and corrected with standardised and country specific rules.

In today's rapidly evolving tax landscape, VAT authorities worldwide are changing their approach.

Tax authorities across Europe expect more data in less time. They are digitalising their own processes and businesses need to respond.

The New Reality for VAT Compliance Teams

  • Real-time reporting requiring continuous transaction controls.
  • Digital tax authorities digitalising their systems at an ever increasing speed.
  • Country specific complexity with each jurisdiction implementing their own technical standards.
  • Continuous transaction controls requiring immediate validation and reporting.
  • Machine to Machine mandatory filings increasing

Introducing ARCO Compliance for SAP

Changing the paradigm for VAT Compliance.
ARCO Compliance is the comprehensive VAT technology solution built specifically for SAP. Deployed within your SAP environment our solution is a next generation VAT Compliance tool. It creates a seamless bridge between your SAP and tax authorities worldwide, transforming compliance from a monthly scramble into a controlled, continuous process.

Key Features of Meridian’s ARCO Compliance

Live Data

Ending the month end firefight with live data, enabling continuous review and early error detection.

Within SAP

Within your SAP system either on-premise, private cloud, or public cloud – your data goes no where.

Automated

Live checks and validations ensure that VAT data is continuously monitored, corrected and kept compliant throughout the period with real time adjustments. All affected declarations automatically updated eliminating the need for endless reconciliations.

Calendar Engine & Workflows

The calendar engine and workflows orchestrate every compliance task with precision, ensuring consistency, accountability, and full visibility across all VAT activities.

Joule enabled – SAP’s AI

SAP Joule provides intelligent, embedded AI insights directly within SAP enhancing decision making and accelerating VAT analysis. Seamlessly linking data from across your finance landscape to provide real business benefits, not another chat bot.

Real Time VAT Compliance with Live Data

  • Real time data validation and continuous compliance checks –  ARCO has a live data feed enabling users to identify errors early, allowing VAT teams to resolve issues throughout the month rather than during the month end scramble.
  • Granular visibility and intelligent error management – the system breaks down errors by company code, reporting country, error type, and value, enabling users to prioritise high risk items and focus on what matters most.
  • Actionable, auditable corrections directly within the system – Users can correct data, place items on hold, exclude transactions, or reassign reporting periods -with a full audit trail for every decision for tax authority review. A change to any document is reflected in all the affected declarations – eliminating time consuming reconciliations.

Mapping Tax Codes Directly to VAT Forms

  • Continuously prefilled VAT returns using live SAP data – ARCO builds VAT returns, EC Sales Lists, and other declarations in real time as transactions occur, giving teams a fully populated VAT form long before month‑end and dramatically reducing the pressure window for corrections.
  • Tax code mapping – Every SAP tax code is mapped to an ARCO transaction type, ensuring each transaction automatically rolls up into the correct VAT form box, with full drill‑down visibility and downloadable audit‑ready reports.
  • Flexible, auditable handling of non‑SAP and exceptional transactions – Users can add manual or bulk‑uploaded transactions, adjust mappings, and ensure all compliant data is included—while ARCO tracks every action for complete transparency and audit confidence.

Manage All Legal Entities, VAT registrations and VAT Groups in One Location.

  • Centralised management of all VAT registrations and VAT groups –  ARCO provides a single, structured location for every legal entity, VAT registration, VAT group, and declaration schedule, ensuring consistency, visibility, and easy maintenance across all jurisdictions.
  • Intelligent, rules‑driven setup with automated period generation – The system applies country-specific logic for frequencies, start months, deadlines, taxpayer/representative requirements, and prevents conflicting schedules – while automatically generating future reporting periods with correct filing deadlines.
  • Controlled, auditable administration with strong user permissions All changes, such as adding schedules, stopping periods, editing registrations, or inheriting VAT group rules, are fully auditable and restricted to authorised users, protecting data integrity and ensuring compliant configuration management.

Total Flexibility with Who Manages Compliance – User controls

  • Flexible, role‑based access tailored to your organisation –  ARCO allows you to assign precise roles—such as auditor, controller, processor, or reviewer—ensuring each user has the exact level of responsibility needed for their part of the VAT process.
  • Jurisdiction and entity‑specific user assignment – Users can be granted access by reporting country, region, or individual legal entity, enabling clear ownership of VAT returns and seamless coverage across Benelux, the Nordics, or any other grouping.
  • Transparent, controlled, and easily transferable responsibilities Each user sees only the declarations they are responsible for, and ownership can be reassigned instantly during absences, ensuring continuity while maintaining full control and auditability.

Benefits That Transform Your Tax Department

The shift to technology-driven VAT compliance isn't coming—it's already here. Forward-thinking SAP customers are gaining competitive advantage by embracing solutions that turn this challenge into an opportunity for efficiency and excellence
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For Tax Directors

• Reduce compliance risk with daily validation
• Automate routine compliance tasks
• Real-time visibility into global tax positions
• Implement governance controls with granular user permission settings
• Give confidence that your system is reliable, robust and future proofed

For VAT Managers

• Cut declaration preparation time by up to 70%
• Eliminate manual data extraction and reconciliation
• Comprehensive documentation reduces audit exposure
• Overcome staff absences with role-based delegation
• Balance declaration resources across regions during peak periods
• Free up time to focus on other tasks your team just never gets time for

For IT Leaders

• Leverage your existing SAP investment without additional databases
• Implement quickly with our BTP-based architecture
• Maintain data security with SAP's robust security frameworks
• Reduce integration complexity with native SAP connectivity

HM Revenue & Customs

“Find software for Making Tax Digital for VAT”

Meridian MTD software is built into a managed VAT compliance service offering whereby we offer our services to clients including submission of their VAT returns to HMRC using our bespoke VAT Compliance application.

Meridian MTD software is recognized by HMRC.

Click here for a list of MTD software providers

Ready for SAP-Powered VAT Excellence?

Schedule a consultation with our SAP tax technology experts to discover how ARCO Compliance can transform your VAT operations for the digital age.

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