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A tax advisor is an essential figure for any company that wants to comply with tax regulations. Tax consultants provide advice to individuals and companies on specific tax matters. They keep up to date on changes in tax legislation and explain those laws and complex tax regimes to clients. If you are in trouble with the IRS, you will need a tax professional to represent your financial interest after going through your records; providing to the IRS that you have followed the law.
Prepare Income Statement
In addition, after examining the financial circumstances of the client, a tax advisor will usually prepare the income statement and calculate the correct taxes to be paid to the government. One of their important duties is to advise the client on legal ways to reduce their tax bill and they will negotiate with the tax authorities on behalf of the client.
Assess Client’s Financial Activities
Tax consultants also review detailed financial accounting and examine clients’ general financial activities to make sure that it is always accurate. They advise the client on the tax consequences of financial planning, business strategy, or financial operations such as company reorganizations and mergers. They can evaluate international taxation for companies that trade with companies from other countries. Some tax consultants specialize in advising clients on how to plan and manage their VAT.
It is important that in order to be a good tax advisor, you have the following qualities:
- Solid training and experience in tax matters and tax regulations
- Accounting knowledge
- Good communication
- Always improving tax services
- Knowledge of tax laws
- Puts the client first
Responsibilities and Functions
You should consider a tax advisor who knows the complex responsibilities of representing clients, Among their responsibilities and functions are:
- Preparing and completing the different taxes to which the taxpayer is obliged
- Plan, among the different tax options, the way to achieve the greatest benefit according to the personal circumstances of the self-employed person or company
- Apply the different deductions and subsidies contemplated in the law to achieve the greatest tax savings for its clients
- Help taxpayers understand the tax rules so that they can understand what and how much they pay at all times
- Act as a social collaborator representing the taxpayer before the tax administration
- Respond to communications and requirements by responding to the notifications made by the Treasury department
Hiring a Tax Advisor
Tax season is right around the corner so make sure you’re prepared. Do you have your finances in order; whether business or personal? A Denver tax advisor can help you to prepare for the upcoming major event in your life. Don’t wait until the last minute.
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