A tax consultant is a professional tax expert who helps to reduce tax liabilities and boost clients’ savings. Being more experienced than a tax preparer, a tax consultant provides better and more advanced skills to meet the needs of clients. A German tax consultant also provides tax consulting services to specific clients, such as individual tax consultants or corporate tax consultants.
They may own their business or choose to work in a professional service firm, such as a specialized tax consulting firm. They may also apply for positions in government agencies, tax offices, or other nonprofit organizations. Below is a comprehensive guide on German tax consultants.
Reasons for Hiring a German Tax Consultant
Its primary aim is to help individuals and organizations manage their tax payments. Tax compliance, tax legislation, and tax strategy are the areas of expertise that a tax consultant possesses. Both individuals and business proprietors can hire a tax consultant for short-term as well as long-term optimization. They help review the individual taxes and business taxes. Finally, they try to improve the tax returns and minimize clients’ tax liabilities throughout the year.
Roles and Responsibilities of a Tax Consultant
Discussed below are the important roles and responsibilities every German tax consultant must abide by:
- They evaluate a taxpayer’s financial and legal circumstances to determine their tax obligations.
- Identifying effective methods to decrease or minimize tax obligations.
- Assisting taxpayers in making investments, including pension plans, life/term insurance, medical insurance, and government tax-saving programs.
- Preparing income tax returns.
- Managing tax-related paperwork.
- A German tax consultant also projects taxes on various investment portfolios.
- Assisting in the completion of tax forms, such as Form 16, Form 12B, etc., and submitting the documents through the Income Tax Department’s website.
Benefits of a Tax Consultant
While there are several reasons to hire a German tax consultant, discussed elbow are few:
Know about your tax deductions
Tax consultants help identify the possible tax deductions of a company for the year and guide the client on strategic investments to reduce future tax liabilities. Every skilled German tax consultant advises the company about various efficient methods to save taxes most appropriately and legitimately while also strengthening the clients’ financial portfolio.
Source: https://www.knockinglive.com/a-comprehensive-guide-on-tax-consultants-in-germany/
