teleconOn 9 October, Aktau hosted the OHML conference “Horizontal Monitoring: New Opportunities”. Telecon and NAC Kazatomprom JSC presented their experience of implementing and scaling Horizontal Monitoring across the Kazatomprom Group. The talk “From Pilot to the Group: the Path to a Single Tax Perimeter” was given by Olga Mazurova, Director of the Tax Department at NAC Kazatomprom JSC, and Gulsaya Tatikova, Head of Accounting and Reporting at Telecon.
The project to implement the Horizontal Monitoring Platform in the Kazatomprom Group began in 2024 at the corporate centre. During the assessment, the Telecon team and the client examined the accounting processes and the IT landscape as they relate to tax accounting. During design, the team built data models for disclosing tax reporting indicators, as well as a matrix of tax risks and control procedures within the internal control system (ICS). During implementation, the OHML data mart was configured on the basis of these models and integrated with the accounting system.
The work at the corporate centre produced a reference model for tax data disclosure, with a single methodology and tax reporting indicators traceable down to primary accounting documents. It became the basis for scaling the solution to the Group’s companies.
The next step was rolling the data mart out to APPAK LLP and Semizbay-U LLP, taking into account their accounting processes in subsoil use. The solution was adapted to the accounting systems these companies use, SAP and 1C. As a result, three Group companies were brought into a single Horizontal Monitoring perimeter covering nine tax reporting forms.
“We wanted connecting each next company to be a matter of configuration, not a new project. To do that, we developed a unified data model and made it possible to work with different accounting systems. This matters most for large groups of companies, where the IT landscape can differ from one company to the next,” says Gulsaya Tatikova, Head of Accounting and Reporting at Telecon.
A separate line of work was the dialogue with the State Revenue Committee (SRC). The Telecon team took part in discussing the disclosure of tax reporting indicators and in preparing proposals for the regulation that governs Horizontal Monitoring.
Olga Mazurova, Director of the Tax Department at NAC Kazatomprom JSC, stressed what the project means for Horizontal Monitoring across the Group:
“The benefits of the project serve as an additional indicator of how mature the company’s tax and financial management is, which strengthens its financial stability and investment appeal.
Since several Group companies took part in the Horizontal Monitoring pilot, we saw the project to integrate the Horizontal Monitoring Platform as a task for the Company with the prospect of extending it to other Group companies. At the first stage it was important not only to implement the data mart, but also to work through, together with the SRC, the questions of tax reporting disclosure and the regulation of Horizontal Monitoring. As a result, we have a model that lets us connect the next Group companies to the platform one by one.”
The OHML conference served as a venue for sharing experience and for an open dialogue on the practical side of implementing Horizontal Monitoring. Cooperation between business, IT companies and government bodies helps good practice spread and Horizontal Monitoring develop further in Kazakhstan.
