Demand for Tax Professionals Continues to Expand
Companies are under mounting tax pressure from all sides: expanding regulatory obligations, rising audit risks, and an intensifying shortage of experienced talent. According to Thomson Reuters’s 2024 State of the Corporate Tax Department report, 51% of tax departments are under-resourced. These teams are significantly more likely to face audits and incur penalties, with a median cost of $50,000, more than double that of adequately staffed teams.
In this high-stakes environment, tax professionals play a critical role in safeguarding financial integrity and supporting business growth. They deliver a wide range of services, including tax planning and strategy, regulatory compliance, audit defense, international reporting, and transaction structuring. Their insights guide key decisions such as entity formation, cross-border operations, and investment timing, helping companies manage risk while minimizing tax liabilities. As tax functions evolve beyond routine tax filing to encompass strategic advisory work, organizations are under increasing pressure to attract professionals who can balance day-to-day accuracy with forward-looking insight.
This guide will help you identify what sets top tax professionals apart, how to assess their skills and experience, and how to structure an effective hiring process. Whether you’re building an in-house team or seeking external expertise, the insights that follow will help you make a confident and informed hire.
What Attributes Distinguish Quality Tax Professionals From Others?
The best tax professionals do far more than file returns or prepare reports. They help organizations develop business strategies that mitigate risk and ensure financial resilience in an increasingly complex regulatory landscape. While many candidates may have basic compliance experience, truly exceptional tax professionals blend technical mastery with strategic insight and technological fluency. They anticipate regulatory change and turn complex tax obligations into strategic advantages.
Here are the key attributes that distinguish top-tier tax professionals:
Deep Expertise in Tax Law and Regulation: Exceptional professionals possess a thorough and current understanding of tax codes—including local, federal, and international—and crucially, they understand how to interpret and apply them in real-world business contexts. They are fluent in emerging frameworks like Pillar Two, BEPS 2.0, and country-specific mandates, enabling them to advise on structural decisions, policy risks, and compliance strategy. Their expertise makes them indispensable partners in aligning tax positioning with both regulatory expectations and business priorities.
Strategic and Analytical Thinking: Top tax professionals look beyond compliance to understand how tax strategy shapes the broader financial and operational landscape. They assess the implications of various tax treatments, such as filing positions, eligibility for tax credits, or unique aspects of the company’s tax situation. They can also provide input on capital allocation, corporate structuring, and the timing of major transactions. Whether supporting M&A, cross-border expansions, or entity reorganization, their analytical insight helps companies navigate trade-offs and align tax outcomes with business goals.
Precision and Process Discipline: The margin for error in tax reporting is slim. High-performing tax pros maintain rigorous documentation standards and build internal controls that stand up to scrutiny from auditors, regulators, and internal stakeholders alike. They ensure that all required tax forms—such as federal and state corporate income tax returns, international disclosures, or informational filings—are completed accurately and submitted on time. Their discipline ensures that tax positions are technically accurate and consistent across reporting periods. This level of reliability instills confidence at the executive level and reduces the risk of rework, penalties, or reputational harm.
Technology Fluency and Workflow Optimization: Modern tax professionals must go beyond basic spreadsheet skills. Top candidates are proficient with preparation software such as Drake, Lacerte, or UltraTax, and are equally comfortable using platforms like ONESOURCE, Corptax, Orbitax, and enterprise systems like SAP or Oracle. They understand how to integrate tax systems with broader financial infrastructure and ensure clean audit trails through proper data management. Their ability to automate workflows and scale accuracy through technology is a key differentiator in fast-moving, compliance-heavy environments.
Effective Communication Skills: Tax professionals don’t work in isolation. Strong communicators translate complex regulations into clear, actionable insights for finance leaders, legal teams, and operational stakeholders. They tailor their messaging to diverse audiences and help ensure that tax considerations are integrated early in decision-making processes. This clarity accelerates cross-functional planning and enhances trust in the tax function’s strategic value.
Global Perspective and Multi-jurisdictional Competence: In a globalized economy, tax professionals must often manage obligations across multiple jurisdictions, each with its own rules, risks, and enforcement priorities. Professionals with international experience understand the interplay between transfer pricing, indirect taxes, and local statutory requirements, enabling them to design compliant yet efficient tax structures. Those who’ve worked in multinationals or supported cross-border operations can anticipate jurisdictional conflicts and avoid double taxation. Their insight is essential for companies expanding internationally or optimizing existing global footprints.
Risk Management and Audit Preparedness: Whether responding to IRS notices or preparing for global audits, experienced professionals know how to anticipate risk and mitigate it. They understand how to communicate with tax authorities, resolve disputes efficiently, and limit financial and reputational exposure. Their preventive mindset strengthens internal controls and supports enterprise risk management at large.
Business Acumen and Financial Insight: Tax impacts everything from cash flow to capital structure, making business acumen a defining trait of high-performing professionals. These individuals understand how tax decisions influence EBITDA, shareholder returns, and the timing of investments or transactions. They partner across teams to weigh tax efficiency against operational feasibility, helping leadership navigate trade-offs and maximize after-tax outcomes. Their ability to connect technical expertise with strategic business priorities elevates their role from compliance officer to financial advisor.
Ethical Integrity and Discretion: Access to sensitive financial data requires unwavering integrity. Top tax professionals uphold confidentiality and follow regulatory and corporate codes of conduct even under pressure. They serve as stewards of trust to ensure that transparency and accountability are maintained with internal stakeholders, auditors, and regulatory bodies. In an environment where a single misstep can trigger legal, financial, or reputational fallout, integrity isn’t just a value—it’s a safeguard.
Commitment to Continuous Learning: Tax law is in a constant state of flux, shaped by legislation, policy shifts, and global economic forces. Exceptional professionals view continuing education as a strategic imperative. They actively engage with professional associations and stay current on evolving standards. This proactive mindset allows them to anticipate how emerging trends may affect their organization.
How Can You Identify the Ideal Tax Professional for You?
Finding the right tax professional isn’t just about technical skill—it’s about business alignment. Tax leaders influence everything from compliance and audit readiness to capital planning and digital transformation. As a result, hiring requires a sharp focus on strategic fit, not just functional expertise or technical credentials. The strongest candidates will reduce risk and elevate the role of tax within the broader organization.
Align Experience Requirements With Role Complexity
Whether you’re filling a newly created position or backfilling a departure, it’s essential to consider the level of independence and strategic oversight the position entails. Matching the complexity of your tax needs with the appropriate level of seniority ensures that your hire can meet current obligations while scaling with future demands.
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Junior tax professionals typically bring one to three years of experience, often within public accounting firms or smaller in-house teams. They excel at foundational tasks like tax return preparation, data gathering, and documentation, offering fresh perspectives and a tech-savvy approach. Though they require guidance on nuanced issues like multi-jurisdictional compliance, junior professionals are often a good fit for structured small business environments, where they can streamline foundational tax processes without needing to manage enterprise-level complexity.
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Mid-level tax professionals generally manage end-to-end compliance with autonomy and often have exposure to specialized areas such as state and local tax, indirect tax, or international filings. They typically support projects like credit analysis, preliminary tax planning, or audit preparation and begin mentoring juniors or liaising with external advisors. Their blend of growing leadership and practical experience positions them well for mid-sized companies or tax teams facing moderate complexity and expansion.
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Senior tax professionals serve as strategic advisors and are comfortable operating at the intersection of tax, finance, and executive leadership. Often with eight or more years of experience, they lead on entity design, acquisitions, transfer pricing, tax provisioning, and audit defense—often directly communicating with C‑suite executives and board members. Their decision-making is underpinned by critical judgment, proven expertise in managing risk, and an ability to anticipate long-term effects on business strategy. Senior professionals are indispensable to global enterprises and fast-scaling companies.
It’s also important to distinguish between generalists and specialists. A full-service generalist might support a wide range of tax areas within a small or midsize business, while specialists—such as those focused on transfer pricing, international tax, or tax technology—bring deep expertise to specific areas, often needed in larger or more complex organizations.
Assess Practical Expertise and Strategic Fit
Beyond experience, the evaluation process should assess each candidate’s ability to apply their knowledge in real-world business contexts. Practical assessments, like scenario-based case studies or technical walkthroughs, reveal how a candidate thinks through ambiguity, prioritizes risks, and communicates with stakeholders. Reviewing past projects—such as audit defense, tax technology implementation, or restructuring support—can offer insight into their impact and adaptability.
Professional credentials—such as certified public accountants (CPAs), enrolled agents (EAs), or advanced tax law degrees—can signal foundational expertise, but effectiveness goes well beyond the resume. A candidate’s ability to collaborate across departments, simplify complex issues for non-specialists, and support financial strategy is increasingly critical. Comfort with tax technology, ERP integrations, and automation platforms is also essential in a modern tax environment. Just as important is their commitment to continuous learning in a regulatory landscape that changes year to year.
Many tax professionals enter the field as tax preparers, supporting small businesses and individual taxpayers during tax season with tasks like e-filing, claiming tax credits, and preparing federal returns. While these roles—often held by CPAs or EAs—build strong technical foundations, they may differ from the strategic demands of corporate tax functions. For small businesses, a tax pro with experience in both individual and business contexts can add value, particularly where the owner’s tax situation and company filings intersect. When evaluating candidates, consider how their early experience informs their ability to operate in a more complex, enterprise setting.
How to Write a Tax Professional Job Description for Your Project
A strong job description communicates the strategic importance of the role and helps attract tax professionals who align with your business needs. Start by clarifying the scope of responsibility: Is the role focused on compliance, tax planning, or both? Will it involve leadership, external representation, or cross-border coordination? Providing context about the company’s structure, tax environment, and growth plans helps candidates understand how they’ll contribute to business outcomes.
Be specific about the technical competencies required. These may include expertise in corporate income tax, indirect tax, international tax, transfer pricing, or tax technology platforms. Highlight any jurisdictional experience (e.g., US, EU, APAC), and name the systems in use, such as ONESOURCE, Corptax, SAP, or Orbitax. If the role involves audit defense, tax provision, or M&A support, note this clearly. You should also emphasize fluency with data and automation tools where relevant, as this is increasingly critical for both efficiency and compliance.
Finally, don’t overlook soft skills and team alignment. Strong candidates must collaborate across departments, communicate with both technical and non-technical audiences, and uphold ethical and regulatory standards. Include expectations around leadership and strategic thinking, especially if the position is embedded in financial planning or executive reporting. Framing the role as both operational and advisory can help you attract professionals who bring insight, not just execution. Also, specify the work environment—whether the role is remote, hybrid, or in person—to ensure alignment with candidate preferences and your team’s structure.
What Are the Most Important Tax Professional Interview Questions?
Because tax professionals work across sensitive, high-stakes areas of the business, the interview is one of the most important steps in the hiring process. It’s your best opportunity to evaluate not just what a candidate knows but also how they think and communicate. The following questions are designed to reveal strategic judgment and cross-functional impact.
Can you walk me through a time when you helped reduce a company’s tax liability?
Tax liability is influenced by a range of factors, including corporate structure, income timing, and jurisdictional rules. Skilled tax professionals identify legitimate strategies, such as optimizing entity classification or restructuring transaction, to lower the company’s effective tax rate without increasing risk. Candidates should clearly explain the strategy they used, the reasoning behind it (including trade-off considerations), and the business outcome. They should mention cross-functional collaboration and tangible financial impact, such as cash savings or deferred liabilities.
How do you stay current with changes in tax law and regulation?
Tax laws are regularly updated at the local, federal, and international levels. Missing even a minor change can lead to penalties or missed planning opportunities, making continuous learning essential in this field. Top candidates will reference specific sources, such as tax journals, IRS updates, OECD guidance, or professional organizations. Even more importantly, they should describe how they turn information into action and provide examples of times they updated internal policies, influenced decision-making, or helped teams adapt to regulatory change.
Describe a situation where you had to defend a tax position during an audit or inquiry.
Tax audits—whether routine or high-stakes—test the accuracy and defensibility of a company’s tax positions. Experienced professionals prepare not just for compliance but for potential scrutiny, maintaining detailed records and anticipating areas of concern. A strong response will walk through a specific situation, explaining how the candidate managed documentation and engaged with auditors or tax authorities to protect the organization’s financial position. The candidate should outline a calm, strategic approach emphasizing risk management, clear communication, and resolution. It’s a positive sign if the candidate reflects on how the experience led to stronger internal controls or improved audit readiness.
Technology plays a critical role in modern tax functions, from streamlining compliance to enabling strategic planning. This question tests both tool familiarity and broader tech fluency. Candidates should mention platforms such as ONESOURCE, Corptax, Orbitax, SAP, or Oracle, and explain how they’ve used them to automate calculations and manage complex data across jurisdictions. Ideally, they’ll share examples where technology improved accuracy, boosted efficiency, or enabled better collaboration across teams. More advanced responses may include examples of integrating tax platforms with enterprise resource planning (ERP) systems to ensure consistency across financial functions. Candidates might also describe how they normalized data from multiple sources or partnered with IT teams to automate workflows and support digital transformation across the full tax lifecycle.
Major business events introduce complex tax implications that demand foresight, collaboration, and precision. Candidates should demonstrate their ability to operate strategically under pressure by explaining how they assessed structural or jurisdictional risks, advised on deal timing or structure, and collaborated with finance, legal, and external advisors. Strong responses will reflect clear business alignment, showing how their input influenced key decisions or helped protect enterprise value. Additional strength can be seen in examples involving post-deal integration, tax provisioning, or navigating cross-border compliance during periods of organizational change.
Why Do Companies Hire Tax Professionals?
Tax professionals bring order and insight to one of the most complex aspects of business: managing risk and optimizing financial outcomes in a shifting regulatory landscape. Their ability to translate tax rules into actionable strategies—whether through audit defense, entity structuring, or international planning—makes them essential to sound financial governance.
As tax departments face rising expectations, the most effective hires are those who combine technical fluency with strategic vision. These professionals don’t just ensure compliance; they safeguard enterprise value and help position the business for long-term growth.
