Mexico to use PeopleSoft for taxes

Mexico Tax Administration

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PeopleSoft Inc. officials signed a $50 million contract last week with Mexico's Tax Administration Service (SAT) for the company's enterprise management software, which will be the basis of a thorough modernization of the country's tax agency.

The administration, Mexico's equivalent to the Internal Revenue Service, maintains databases in collection centers around the country. The Modernization and Integration of the Information Systems of SAT program will consolidate that data into a single platform. The World Bank is helping to finance the program.

At the core of the contract, which is the largest deal in the company's history, is PeopleSoft's Enterprise Revenue Management product. That system, co-developed by SPL WorldGroup Inc., will help Mexican tax administrators collect and manage taxes and fees from income and property taxes, vehicle registrations, business licenses, building permits, health care services, public housing, court fees, parking tickets, and social services.

The contract also includes PeopleSoft's Enterprise Financial Management, Enterprise Customer Relationship Management, Enterprise Performance Management and Enterprise Portal solutions, as well as the services and support for the software, according to company officials. IBM Business Consulting Services and SPL WorldGroup will work with PeopleSoft during the two-year implementation.

In the United States, the IRS' business systems modernization program has been under way for more than five years, with several setbacks along the way. It involved the development of custom systems and solutions in order to switch from the existing databases and libraries.

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