Tax Leaders Face Rising Regulatory Complexity as Strategic Influence Grows

Event summary

  • Regulatory complexity is now the top enterprise tax risk, cited by 30% of tax leaders, up from 13% in 2025.
  • Only 38% of organizations have a defined process for cross-functional tax engagement, limiting risk mitigation.
  • 94% of tax leaders are involved in pre-decision business strategy, up 4 points from 2025.
  • 54% of tax teams are outsourcing more due to regulatory and compliance demands, up from 33% in 2025.
  • 86% of tax leaders find implementing OBBBA provisions challenging, with state decoupling adding complexity.

The big picture

The 2026 BDO Tax Strategist Survey highlights the growing strategic role of tax leaders amid increasing regulatory complexity and global tax reforms. As organizations navigate tariff volatility, OBBBA implementation, and rapid technological change, the survey underscores the need for better integration of tax functions to mitigate financial risks and deliver strategic guidance. The findings reflect broader industry trends where tax departments are becoming more central to enterprise decision-making, particularly in mergers and acquisitions and risk management.

What we're watching

Regulatory Headwinds
How the doubling of regulatory complexity concerns will impact tax function efficiency and strategic decision-making.
Operational Integration
Whether organizations can institutionalize tax functions to reduce person-dependent, reactive tax strategies.
Technology Adoption
The pace at which tax teams will overcome interoperability and data management challenges to leverage AI and automation effectively.