What is a tax advisor and how to choose one?
Tax consultancy is an important, essential and totally recommendable service for any company or society, whatever its dimensions, activities or objectives, it is a necessary support for the proper functioning of these in today’s society.
The tax advisor is not only a resource or professional who is used in some fortuitous episode or to save costs and pay less taxes to the State, is a more complete and complex figure, which ensures that we move on the right side of the law. It is a way of, in the long run, saving unnecessary costs and optimizing the tax burden of natural or legal persons. Tax advice ends up being a good investment.
We speak of tax advice when we refer to the professional (or professionals) who is responsible for ensuring that a natural or legal person is aware of their tax obligations, complies with all that the law requires and is up to date with current regulations.
In addition to complying with various tax returns, a tax advisor can also guide individuals and companies in achieving tax advantages in key areas such as taxation of profits and gains, estate planning, investment tax administration, and corporate tax planning.
Our team helps our clients navigate an often changing and complex national and international tax environment related to strict capital requirements, operational tax risk management and the tax implications of investing in different jurisdictions. Our challenge is to help our clients minimize their taxes while helping them meet the challenges of the ever-changing tax world, both locally and globally.
The advantages of legal advice in the tax field
Legal advice in the tax field is becoming more and more necessary, as legality is becoming more and more complex and the pace of everyday life often does not allow us to stop to analyze the law and the bureaucratic procedures of our economic activity.
The good tax advisor offers guarantees to his client; he assures him to act always within the legality, not to run risks and to avoid greater evils with Treasury. Within the limits allowed by law, the tax advisor must optimize to the maximum the tax burden of the represented party, offering innovative, safe and finally profitable solutions.
The tax advisor is responsible for analyzing, contrasting, investigating and clarifying the information handled by his client or providing mechanisms to minimize tax settlements. He will always inform his representative of his responsibilities to the Treasury if there are any questionable actions or actions outside of the law.
Legal advisors in the tax field play an important role in understanding the implications of the prices of goods and services between related parties, as well as in providing advice on the tax implications of operations.
What does a tax advisor do?
– To carry out short and medium-term fiscal planning according to the client’s wishes, in order to prepare the necessary resources and to be able to organize the different payments to be made in the coming months.
– Make a reasonable and proportionate reading of the law and taxation, always adjusting to the tax regulations and the interests of your client.
– Monitor and follow up on the tax settlements required so that they are completed in time, form and content.
– Facilitate and provide all types of information to clients in relation to tax regulations, possibilities, resources, subsidies, legal options, taxes and long etcetera in tax matters. Many times companies are not aware of the possibilities that the State itself offers them because they simply do not have information on the matter.
– Advising on the most appropriate legal formula for a given economic activity. A society or company can be limited, anonymous, cooperative, etc, according to the needs and objectives of the same one.
– Among the accounting services of tax, advisors can be those of legal and economic audits. It is one of the issues most demanded by those clients who want to have quality information on their accounting by actively monitoring it. It is a highly recommended option in SMEs today.
– The management of the payrolls of the employees of a company, society or cooperative can also be carried out by a tax advisor. Sometimes the apparently simplest tasks are the ones that take the most work and it is advisable to delegate them to a professional and trustworthy administrative manager.
– Good accounting services ensure the annual preparation of the Annual Accounts and allow a correct configuration of the result of the economic activities carried out, in order to make an evaluation of the course at the tax, fiscal and viability level of the company or self-employed.
– The representation mission is one of the most requested by SMEs. A good consultancy takes charge of representing its clients before the courts, the Tax Agency itself or before the workers themselves, depending on the circumstances.
– Good legal advice must be aware of local or regional taxes, is informed daily of the subsidies or deductions that the law contemplates or allows, with the ultimate aim of tax optimization of the activity of their represented.
According to the law, a tax advisor, as a manager has civil, criminal or tax responsibilities, so it is necessary that they have a deep knowledge of the laws of the country, its interpretation and, to a greater or lesser extent, a great experience in the development of their work.
The figure of the tax advisor is necessary
Today, in a world as demanding and complex as the tax world, a company cannot be understood without its tax advisor. A tax advisor gives security and confidence to his clients, being his objective besides to reduce the tax burden of his represented, to watch over the correct functioning and development of the company or society that he represents.
A company without legal problems and with its taxes up to date is always a professional company, safe and with a good reputation.
If you made up your mind to find the right tax advisor for you or your company, then we recommend you to read our article about How to Find the Right Tax Consultant.