PwC strikes innovative deal with GE to take on in-house tax law team

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PwC has sealed a five-year deal with GE to provide tax services to the company, with around half of GE’s tax team moving over to the big four accountant as part of the agreement.

More than 600 members of GE’s tax team, which is largely made up of lawyers and accountants, will join PwC, while the accounting giant will also acquire GE’s tax technology systems.

PwC will provide global tax services to GE, and also utilise the GE team to provide managed services to its other clients.

PwC currently has the largest tax practice in the world, with around 41,000 professionals working across 157 countries. GE’s tax department, meanwhile, has been described as “the world’s best tax law firm”.

In a statement, PwC said it “believes it has identified an opportunity that recognises the future needs of a rapidly changing marketplace”.

PwC vice-chairman and managing partner Mark Mendola said: “The calibre of talent joining our firm from GE is remarkable. This arrangement will enable us to continue providing our clients with the very best tax services in an increasingly volatile and uncertain environment.”

The five-year renewable agreement will take effect from 1 April.

News of the arrangement comes after PwC’s UK legal arm fully integrated into PwC’s UK business to create a multi-disciplinary practice. PwC was granted an alternative business structure licence in 2014, a move that enabled its legal services business to operate more closely with the wider accounting firm.