Tax accountants do exactly what any good accountant does, they help their clients to save money.
The difference is that they do this by helping them to avoid common errors in the tax return process, and by finding innovative ways to reduce the amount of tax due whilst still fully complying with all legal requirements.
Every day, tax accountants will spend their time advising organisations and individuals on tax issues, not only overseeing standard tax efficiency but also providing key information on the tax implications of business transactions such as mergers or acquisitions.
Every single business and individual in the UK is impacted by tax laws to some extent so if you are a trainee accountant looking for a career path where you will never be short of work, becoming an accountants for tax is certainly a great option to consider.
Individual tax accounting vs business tax accounting
Tax accountants will advise both individuals and businesses, but will take a slightly different approach to each client.
On the individual side of things, tax accountants will focus on investment gains, income tax, write offs, and any other ways which they can reduce the tax burden on their clients and keep more of their hard earned cash in their pockets.
If they are self-employed, they may also help them to file their own self-assessment tax return.
Some of the ways that an individual accountant may help individual to avoid paying tax on savings that they have already paid tax on, for example, is to make the most of their ISA allowance, gift money to children, and invest more into their pension.
They can also give you information about capital gains tax exemptions that may be available to you.
If you are looking for a tax accountant, or simply want to learn more about what it is that these experts do, do not hesitate to get in touch. We look forward to speaking to you soon.
What about business accountants?
Almost all businesses need a great accountant, whether they hire one in house or use the services of a third-party.
In any business there are a huge amount of cogs turning at any one time, and the vast majority of them have some tax implications that ned to be considered.
R&D tax credits, for example, will reduce the amount of tax that companies who have invested in research and development have to pay, but only if they file an accurate application. A tax accountant will help you to do just that.
Tax accountants are also often chartered accountants in their own right and will also be able to perform a myriad of other more ‘standard’ accounting services such as account preparation and cash flow forecasting.
It is actually recommended that you do indeed seek out a multi-skilled accountant no matter the original reason that you needed one as once you have a trusted professional to call upon you will save yourself the time and effort of searching for one in the long-term.