What Does a Tax Consultant Do?

A tax consultant is a professional who works to help individuals and businesses lower their taxes by following state and federal laws. They provide advice on how to file taxes correctly, plan for retirement and investment options, prepare tax returns and find deductions that can lower taxable income or increase a tax refund.

When choosing a tax consultant it is important to hire someone who has experience in the field. The amount of time and education needed to become a tax advisor varies, but most have completed a bachelor’s degree in finance or accounting. Some tax advisors also pursue a master’s degree in taxation to gain advanced knowledge of tax planning and law.

The skills that are required for a tax consultant include analytical and strategic thinking, computer literacy and communication. Analytical and problem-solving skills are important for looking at large amounts of financial data and finding ways to save clients money. Computer literacy is necessary for using programs like Microsoft Excel, QuickBooks and accounting and taxation software. Verbal communication skills are essential for discussing delicate and confidential matters with clients.

It is also helpful for a tax consultant to have experience in the specific industries they work with. For example, business owners can benefit from a consultant who understands their industry’s unique accounting issues such as how to properly report tips and wages.

A reputable tax consultant will be able to provide valuable information that will safeguard small business owners from costly fines. These professionals can help clients find tax credits, rebates and incentives, as well as develop a long-term strategy that will create permanent savings. Steuerberater