Poland’s Idea Bank creates accounting programme for Uber drivers
09 March 2017 | 2241 views | 0
Source: Idea Bank
Tax Care, Poland’s largest network of accounting offices, belonging to Idea Bank Group, has reported on Tuesday the launch of book-keeping application dedicated to Uber partner-drivers.
This is a breakthrough in settling the accounts of businesses offering their services through the popular platform, and the beginning of cooperation between two highly innovative companies.
Every trip a driver makes using the Uber application is documented in a separate VAT invoice. In a given month, a driver may issue several hundred or more such invoices and. In accordance with the regulations, each should be posted separately. Yet, the market standard for accounting services for businesses settling under simplified rules is that the price for those services is based on the number of documents settled. Let’s assume that a driver has 250 invoices to be posted every month. An analysis of the price lists of accounting companies shows that such services will cost an astronomical EUR 150 net.
Tax Care’s CEO Adam Glos commented
“We’ve created an application that solves this problem. In our system, every document issued by a company offering its services through the Uber platform is posted separately, in accordance with the highest accounting standards. At the same time, we’ve adjusted the cost of the services to the reality of the business, which is tied to the need to issue many invoices”.
Lower costs and higher security
The costs have been reduced significantly thanks to an automatic process of entering invoices in the Tax Care accounting system. Because invoices have a uniform format, it was possible to create a tool that automatically collects data from every document issued by a driver and posts it as a separate item. Importantly, in this model, created especially for businesses using Uber, the price of accounting services depends solely on the number of expense documents (e.g. invoices for fuel, car leasing, maintenance costs) and not on the number of invoices issued by the driver (revenue documents). That way, the monthly accounting fee is reduced significantly in relation to market rates. For example, a driver who has 10 expense invoices to settle will pay EUR 17 for the first six months, and thereafte r EUR 30. What is important is that every driver is served by a dedicated accountant, and has access to an accounting system integrated in Idea Cloud banking.
Kacper Winiarczyk, General Director of Uber Polska, commented:
“The application created by Tax Care meets the needs of partner-drivers cooperating with Uber. The accounting solution we’ve made available to our partners is convenient, and means higher security for the business activity they conduct. This is crucial in connection with the expansion of the platform. Every month the number of trips made using the application is growing by 20%, and that means that partner-drivers are issuing more and more invoices.”
Adam Glos emphasises that it would not have been possible to create an application dedicated to Uber without the technological and capital muscle of Tax Care. “We’re the largest accounting firm in Poland, and at the same time part of the Idea Bank capital group, which is known around the world for its bold fintech projects. Because of this, we are able to create dedicated applications for companies from different industries, and this increases our competitive edge,” underlines the Tax Care head.
Tax Care’s cooperation with Uber is not limited to technology and bookkeeping. It also includes assistance to drivers when setting up a business and selecting the form of taxation. Tax Care conducts regular training sessions for Uber partners on how to run their own business. Drivers also have the advantage of other Idea Bank Group products, such as leasing per kilometer, known as Happy Miles, in which the amount of a lease instalment depends on the distance travelled. Distance is measured by a GPS device installed in the car.