# Brex and VAT IT: Eliminating tax leakage across global spend

Brex has partnered with VAT IT to create a touchless, automated bridge between expense management and global VAT recovery.

**URL Source:** https://www.brex.com/journal/brex-and-vat-it-eliminating-tax-leakage-across-global-spend

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Brex and VAT IT: Eliminating tax leakage across global spend

Brex has partnered with VAT IT to create a touchless, automated bridge between expense management and global VAT recovery, helping fast-growing companies reclaim hidden capital without the manual effort.

The challenge: lost dollars and hours

As companies expand across borders, managing corporate spend in multiple jurisdictions becomes increasingly complex. Organizations face a persistent problem: recoverable VAT slips through the cracks due to manual errors, missing documentation, and a lack of visibility into what's actually eligible for reclaim.

Traditional approaches to recovering VAT force finance teams to manually audit invoices, chase receipts, and navigate constantly shifting local VAT laws. This creates friction between finance, accounting, and operations and ultimately results in significant tax leakage that never makes it back to the balance sheet.

The solution: Brex and VAT IT integration

The Brex and VAT IT partnership addresses this by combining Brex's structured, real-time spend data with VAT IT's two decades of VAT recovery expertise and automation technology. Together, they enable teams to maximize both foreign and domestic VAT yield while removing the administrative burden from finance entirely.

**How it works**: Brex provides direct API connectivity, flowing transaction metadata and digital invoices securely to VAT IT with no manual data entry required. VAT IT complements this with an automated assessment engine that analyzes every transaction for reclaim eligibility, prepares and submits foreign VAT claims to international tax authorities, and generates domestic VAT recovery schedules with GL codes mapped to your specific chart of accounts.

**The result**: a fully automated, end-to-end VAT recovery workflow — from spend capture in Brex to reconciled, ERP-ready outputs — with real-time visibility at every step.

**Here’s an example in action**: A multinational company runs travel and entertainment spend across six countries through Brex. VAT IT automatically identifies all eligible transactions, submits foreign VAT claims to the relevant tax authorities, and delivers a domestic VAT schedule with the exact GL mapping needed for seamless ERP posting. No manual intervention is required.

Breaking down silos across teams and borders

Brex + VAT IT helps global finance organizations work more effectively by giving each team what they need:

- **Finance teams**: Gain complete visibility into VAT reclaim opportunities as they happen, with detailed reporting on recoverable amounts, claim status, and filing progress,enabling more accurate cash flow forecasting without additional manual work.
- **Accounting & ERP teams**: Receive structured domestic VAT recovery schedules with customized GL codes tailored to your specific chart of accounts, making ERP posting and reconciliation seamless and audit-ready.
- **Finance leadership**: Recover hidden capital that was previously lost to tax leakage, with the confidence that 100% of transactions are being audited for eligibility, including line-item analysis to avoid overclaiming on non-reclaimable expenses.

Sample use case: Recovering VAT across a global accounts payable cycle

A fast-growing technology company processes hundreds of supplier invoices monthly across the US, UK, and Europe, including hotels, software, marketing, training, and inter-company transactions, all through Brex. Before using the Brex and VAT IT integration, their finance team spent significant time manually reviewing invoices for reclaimable VAT and still missed a large portion of it.

The automated workflow with Brex and VAT IT:

1. **Trigger event**: Transactions and digital invoices are captured in Brex across all spend categories and jurisdictions.
2. **Automated assessment**: VAT IT's engine analyzes every transaction in real time, flagging both foreign and domestic VAT reclaim opportunities and identifying non-claimable line items to prevent overclaiming.
3. **Claim preparation**: Foreign VAT claims are prepared end-to-end by VAT IT experts and submitted directly to the relevant international tax authorities.
4. **Domestic VAT scheduling**: A recovery schedule is generated with GL codes mapped to the company's chart of accounts, ready for direct ERP import.
5. **Reconciliation & reporting**: Recovered funds are returned to the business, and finance leadership receives a full view of reclaim status, recovered amounts, and filing progress in one place.

Key benefits of using Brex and VAT IT together

- **Maximized VAT yield**: Automated extraction identifies reclaim opportunities routinely missed in manual audits, capturing every eligible transaction across both foreign and domestic categories to return hidden capital to the balance sheet.
- **Zero manual data entry**: Direct API connectivity between Brex and VAT IT eliminates the need for manual invoice chasing and data input, freeing finance teams to focus on higher-value work.
- **End-to-end foreign VAT management**: VAT IT experts handle the full foreign VAT process, from claim preparation to submission across international jurisdictions, so your team doesn't need in-house expertise in every market you operate in.
- **ERP-ready reconciliation**: Structured domestic VAT schedules with customized GL codes mean recovered amounts post cleanly into your accounting system, with no reformatting or manual mapping required.

Learn more and start earning

Ready to stop leaving VAT on the table? See how Brex and VAT IT can automate global tax recovery for your team.

[**Book a demo**](https://www.brex.com/book-a-demo) →

For more resources, visit [integration page] or learn more about VAT IT's reclaim solutions at [vatit.com](https://vatit.com/).

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