Deloitte Netherlands acquires tax consulting and software company Tytho

Weeks after acquiring supply chain firm AEPEX, Deloitte has closed another deal in the Netherlands. The acquisition of Dutch consulting and software company Tytho bolsters the tax automation and tax technology services of the Big Four firm.

“Tytho is a great addition to our Tax & Legal business. This acquisition provides a further impetus to our growth strategy, of which technology is one of the most important drivers,” said Peter Bommel, CEO of Deloitte in the Netherlands. The firm’s Dutch arm has around 5.400 professionals in the country across 15 offices, generating revenues of over €810 million.

In the tax market, which spans services such as corporate tax, international tax law, customs and dividend payments and tax compliance, technology is playing growing role. Technological breakthroughs are not only used to optimise processes for tax processing and financial reporting, but insights drawn from data facilitated by smart technologies are also providing the levers to professionalise operations and services. Technologies that are rapidly making a mark in the tax domain include artificial intelligence, blockchain and robotics process automation (RPA). 

As clients are showing strong interest in embracing such tax technologies, professional services groups with the Big Four at the forefront are across the globe seeking ways to integrate tax technology into their portfolios. Globally Deloitte is recognised by analysts for its leadership in tax technology initiatives within software solutions (e.g. SAP, Oracle as well as third party tax applications), and with the addition of Tytho, Willem Blom, managing partner for Deloitte Tax & Legal, said that the Dutch organisation will be lifted into pole position. “The Deloitte – Tytho combination will further boost our Deloitte innovation power, inject some unique ERP skillset with proven solutions and provide our clients access to the best tax technology resources and offerings in the market.” 

Tytho was founded in 2011 by Susanne de Nooijer-Kouwenhoven, Martijn van Hoof and Eliza Alberts-Muller. Its mission is to disrupt the traditional tax landscape and introduce advanced technologies into the field. The company provides several products and solutions through its product suite ‘Tytho Indirect Tax Logic (ITL)’ for among others indirect tax, transfer pricing and tax compliance.

Today the consulting and software firm has around 30 employees, serving clients in FMCG, financial services, manufacturing and professional services, among others. Eliza Alberts-Muller van Tytho: “Together with our clients we have spurred prosperous growth and we are ready for a next chapter; The Deloitte – Tytho combination will allow us to further strengthen the relationships with our alliances and offer top of class solutions to our clients.” 

Alberts-Muller added that there was more to the match than synergies in services in scale. Culture, a factor she describes as key for the success of an enterprise, played an equally important role. “Our cultural match and complementary team are the perfect ingredients to reach our mutual ambition and continue to lead and shape the tax technology market.”

As part of the deal, the three co-founders of Tytho will be part of Deloitte’s Tax Technology leadership team. Commenting on the ambitions for the coming period, Blom said, “It is our objective to become the undisputed leader in the tax technology domain. We want to be the platform for the best talent and the tax technology partner of choice for our clients.”

In the Netherlands, Deloitte was last year named one of the top strategy and management consulting firms by a poll among 2,600+ managers.