Business

Choosing the Best Tax Consultant for Your Business 

A tax consultant, for the uninitiated, is a financial counselor or expert with a primary focus on taxation. When companies, in particular, are faced with complicated tax problems, including selling their current business or starting a new one, these tax consultants come in extremely handy. 

However, choosing a tax advisory service for your business involves several considerations. Below are a few questions to ask yourself to help you make the right choice. 

1. What are your business needs?

No matter how well-organized you are, small business tax preparation can quickly turn into a nightmare. Therefore, it’s always good practice to hire professional assistance from reputed financial advisory firms like Oblique Consult. This becomes particularly necessary when you’re converting from an LLC to a C corp or resolving business debt. Factoring in the payment of employees who may be freelancing or independent contractors even adds complexity to payroll. In such cases, too, it might be wise to consult a small business tax consultant. 

2. What is their industry experience?

Needless to say, a good tax consultant is always up-to-date on the ever-changing tax laws that can directly impact your company’s net profits. Chances are they also have years and years of work experience in your specific industry. In addition, they are fully compliant with tax regulations and can maximize tax detection. They help you save money by making the most of tax credits and incentives. On top of that, they are qualified to offer suggestions that can help your company expand and run efficiently in other regions. 

3. Do they have the right credentials? 

Make sure to check the person’s credentials and qualification before hiring them as your tax consultant. The relevant experience and education required to provide the services you require might vary. Additional distinguishing characteristics that you may wish to verify are:

  • CPA certification for bookkeepers
  • Tax preparers’ enrolled agent license
  • Lawyers’ license to practice law

Since all businesses have unique tax regulations and needs, it is crucial to choose a corporate tax expert with extensive experience in the field. 

4. Do they have a good reputation? 

You can tell a lot about a consultant’s credibility and work quality by looking at their reputation in the industry and with clients. That being said, hiring the first good tax advisor you see is not a good idea. Read reviews and testimonials to find out how satisfied previous and present customers were with a certain company’s tax advisory services. Get referrals for reliable tax consultants from people you trust, including other experts in the field, financial planners, friends, and relatives.

Ask for references or do background checks to learn more about the consultant’s reputation, work ethic, and communication style. Also, see if they have been the subject of any disciplinary measures or complaints. A credible consultant will have a history of happy clients who have nothing but good things to say about their work.

5. What services do they offer and at what price? 

Think along the lines of what all a tax consultant has to offer. Are there any other services they provide besides tax planning and compliance, such as audit & assurance, tax dispute resolution, or foreign tax planning? Selecting a tax consultant that offers all-inclusive services can help to streamline and standardize your financial management processes. At this point, you should also be upfront about the price and payment schedule. There are tax experts who bill by the service and others by the hour. Understand the scope of the services covered by different pricing tiers. Compare their rates with those of other tax advisors and ensure their quote is in line with industry norms.

6. Does their fee fit your budget? 

Evaluate the fee schedule of all the top corporate tax consultants and make sure it fits your spending plan. Like we mentioned before, some consultants might charge by the hour, while others might have set prices or retainer plans. Assess the value the services bring to your company in relation to their cost-effectiveness. Also, find out exactly what extra costs or fees—like those for extra services or travel—may come up throughout the engagement. Clear pricing is necessary to prevent any surprises and guarantee a win-win cooperation.

7. Do they have good communication skills? 

In order to avoid any misunderstandings between you and the consultant, it is imperative that they have excellent communication skills and be open about everything with you. Choose a consultant that keeps you informed on pertinent tax developments, answers questions quickly, and communicates clearly. 

The best tax advisory service will have open lines of communication with its clients. Their phone, email, chat, and video call options should always be readily available to you. They should make you feel at ease when you ask them questions and receive their responses.

Arslan Hassan

Arslan is an electrical engineer with a passion for writing, designing and anything tech-related. His educational background in the technical field has given him the edge to write on many topics. He occasionally writes blog articles for Dynamologic Solutions.

Arslan Hassan has 12 posts and counting. See all posts by Arslan Hassan

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