1. Technology Innovation and Tax Systems Lorenzo Madrid Chief Technology Officer Microsoft – Latin America Lorenzo.Madrid@microsoft.com

2. Education PoliceJustice Tax Health Citizen “The Vertical View of e-Gov”

3. "The hardest thing to understand in the world is the income tax!"

4. Changing Complexity to Simplicity Easy to Pay Easy to Collect Easy to Understand Easy to Audit Easy to Use Return to Society Easy to Operate Citizen Government

5. Capital Gains PropertyIncome Sales Tax Others Taxes Citizen Collection Auditing “Interoperability ”

6. Citizens Flexibility Flexibility Cost Reduction Cost Reduction Better services Better services Governments Greater Efficiency Greater Efficiency Improve transparency Improve transparency Leverage Investments Leverage Investments Interoperability Is Important To Everyone Interoperability Enterprises Business necessity Business necessity Reduce costs Reduce costs Customer value Customer value Government Bureaucracy imposes a high burden to GDP

7. Number of transactions per year Minutes1015202530354045505560 50.04%0.06%0.08%0.10%0.13%0.15%0.17%0.19%0.21%0.23%0.25% 100.08%0.13%0.17%0.21%0.25%0.29%0.33%0.38%0.42%0.46%0.50% 150.13%0.19%0.25%0.31%0.38%0.44%0.50%0.56%0.63%0.69%0.75% 200.17%0.25%0.33%0.42%0.50%0.58%0.67%0.75%0.83%0.92%1.00% 250.21%0.31%0.42%0.52%0.63%0.73%0.83%0.94%1.04%1.15%1.25% 300.25%0.38%0.50%0.63%0.75%0.88%1.00%1.13%1.25%1.38%1.50% 350.29%0.44%0.58%0.73%0.88%1.02%1.17%1.31%1.46%1.60%1.75% 400.33%0.50%0.67%0.83%1.00%1.17%1.33%1.50%1.67%1.83%2.00% 450.38%0.56%0.75%0.94%1.13%1.31%1.50%1.69%1.88%2.06%2.25% 500.42%0.63%0.83%1.04%1.25%1.46%1.67%1.88%2.08%2.29%2.50% 550.46%0.69%0.92%1.15%1.38%1.60%1.83%2.06%2.29%2.52%2.75% 600.50%0.75%1.00%1.25%1.50%1.75%2.00%2.25%2.50%2.75%3.00% 2.000 working hours/year Vertical e-gov Solutions Inter-op Actions

8. CountryGDP (2003) US$ Million Pop. (2003) Million GDP/cap (2003) US$ 0.3%0.7%1.2%3.0% AVG Argentina444,74938.411,582 1,3343,1135,33713,342 5,782 Bolivia22,4058.82,546 67157269672 291 Brazil1,390,2931797,767 4,1719,73216,68441,709 18,074 Chile161,25515.810,206 4841,1291,9354,838 2,096 Colombia299,85344.26,784 9002,0993,5988,996 3,898 Costa Rica39,8584.29,490 1202794781,196 518 Dominican Rep58,3168.76,703 1754087001,749 758 Ecuador47,892133,684 1443355751,437 623 El Salvador32,4616.54,994 97227390974 422 Guatemala50,70112.34,122 1523556081,521 659 Honduras18,3406.92,658 55128220550 238 Jamaica11,2972.74,184 3479136339 147 Mexico950,1441049,136 2,8506,65111,40228,504 12,352 Nicaragua13,8775.52,523 4297167416 180 Panama20,0733.16,475 60141241602 261 Paraguay27,8725.94,724 84195334836 362 Peru143,26227.25,267 4301,0031,7194,298 1,862 Uruguay28,1523.48,280 84197338845 366 Venezuela126,16125.74,909 3788831,5143,785 1,640 GDP/cap Source: World Economic Forum & INSEAD – France The Global Information Technology Report (2004 – 2005)

9. Using the Right Software Architecture brings exponential productivity gains; Web Services

10. PC Architecture DOS Spreadsheets Word Processors PC Mid 80s Internet Mid 90s Applications Late 80s-Mid 90s MouseGUILANs XML/SOAPHTTP/HTMLSMTP Email Clients Web Browsers Protocols: Loosely Coupled APIs: Tightly Coupled Technology Adoption

11. PC Architecture DOS Spreadsheets Word Processors PC Mid 80s Internet Mid 90s Applications Late 80s-Mid 90s Web Apps Mid 00s -... Today Speech/WritingDevicesWiFi/Broadband Web Services MouseGUILANs XML/SOAPHTTP/HTMLSMTP Email Clients Web Browsers Protocols: Loosely Coupled APIs: Tightly Coupled

12. Convergence

13. Networking Data Management UNIX Systems Integration Industry Standards Languages Applications Identity Legacy Hosts XML Web Services IT Strategy Works With What You Have Interoperable By Design

14. Innovation Investments Unified Communications & Collaboration Content Management Business Intelligence SearchMobility Governance & Management Workflow & Portal Infrastructure for Web Services

15. The Role of Software Support Teamwork Foster Compliance Facilitate Insights Provide Information Visibility Enable Process Excellence Help People Work Anywhere, Anytime Enable Process Excellence Give Information Visibility Facilitate Insights Support Teamwork and Goal Sharing Diminish Space/Time Barriers to Work Foster Compliance

16. People is your most valuable asset! How will they work in the future?

17. The Barometer Invented by Evangelista Torricelli, a student of Galileo Galilei, in 1643;Evangelista TorricelliGalileo Galilei1643 Measures atmospheric pressure; Altimeter.

18. The Barometer, the Student and the Tour Eiffel…

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