Accounting

Tax Accountant job description

A Tax Accountant prepares tax returns, ensures IRS compliance, and manages tax planning strategies using software like Drake, ProConnect, and Excel.

Published April 10, 2024Updated May 9, 20262104 likes

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Job brief

We are seeking a detail-oriented Tax Accountant to join our accounting team and take ownership of our comprehensive tax preparation and compliance processes. In this role, you will prepare diverse tax returns ranging from individual 1040s to complex business returns, ensure compliance with ever-changing federal and state tax regulations, and provide strategic tax planning advice that saves our clients thousands annually. You will work directly with clients during tax season, collaborate with senior CPAs on complex tax matters, and utilize cutting-edge tax software to deliver accurate, timely results. If you have a passion for tax law and enjoy helping clients navigate the complexities of the tax system, this is the perfect opportunity for you.

Key highlights

Prepare individual, partnership, corporation, and trust tax returns using Drake Tax, ProConnect, or similar professional tax software
Research federal and state tax code updates, IRS publications, and regulatory changes to ensure current compliance knowledge
Review and respond to IRS and state revenue correspondence, notices, and audit inquiries with appropriate documentation
Calculate quarterly estimated tax payments for business clients and provide tax planning recommendations throughout the year

What is a Tax Accountant?

A Tax Accountant is a specialized accounting professional who focuses exclusively on tax preparation, compliance, and planning for individuals, businesses, and organizations. Working with tax software platforms such as Drake Tax, Intuit ProConnect, and CCH Axcess, Tax Accountants navigate complex federal, state, and local tax codes including IRC sections, deduction schedules, and regulatory updates from the IRS and state revenue departments. Their expertise in tax law interpretation, strategic planning, and compliance ensures clients minimize tax liabilities while meeting all filing obligations and avoiding penalties.

What does a Tax Accountant do?

A Tax Accountant spends their days preparing individual and business tax returns using professional software, researching current tax code changes and IRS publications, and analyzing financial documents to identify deductions and credits. They conduct client interviews to gather necessary tax information, review supporting documentation such as W-2s, 1099s, and business expense records, and collaborate with CPAs and enrolled agents on complex tax strategies. During tax season, they manage high-volume return preparation, respond to IRS notices and audit requests, and provide quarterly estimated tax payment calculations for business clients.

Key responsibilities

Prepare individual, partnership, corporation, and trust tax returns using Drake Tax, ProConnect, or similar professional tax software
Research federal and state tax code updates, IRS publications, and regulatory changes to ensure current compliance knowledge
Analyze financial statements, general ledger accounts, and supporting documentation to maximize allowable deductions and credits
Conduct client consultations to gather tax information, explain tax strategies, and provide estimated tax liability projections
Review and respond to IRS and state revenue correspondence, notices, and audit inquiries with appropriate documentation
Calculate quarterly estimated tax payments for business clients and provide tax planning recommendations throughout the year
Maintain detailed tax workpapers, organize client source documents, and ensure proper documentation for all tax positions taken
Collaborate with CPAs and enrolled agents on complex tax matters including multi-state filings, depreciation schedules, and tax credit applications

Requirements and skills

Bachelor's degree in Accounting, Finance, or related field with coursework in federal and state taxation
2+ years of experience in tax preparation using professional software such as Drake Tax, Intuit ProConnect, CCH Axcess, or UltraTax CS
Strong knowledge of IRC sections, tax forms including 1040, 1120, 1065, 1041, and related schedules and supporting forms
Active PTIN (Preparer Tax Identification Number) and current continuing education credits to maintain tax preparer status
Proficiency in Excel for tax calculations, pivot tables, and financial analysis with advanced formulas and functions
Experience with QuickBooks, Xero, or similar accounting software for analyzing client financial data and general ledger accounts
Excellent analytical skills to interpret complex tax scenarios, identify planning opportunities, and resolve discrepancies in financial records
Ability to communicate tax concepts clearly to clients ranging from individuals to business owners, explaining strategies and compliance requirements

FAQs

What does a Tax Accountant do during tax season?

During tax season, a Tax Accountant works intensively preparing individual and business tax returns, often handling 15-20 returns per day using professional software like Drake Tax or ProConnect. They conduct client meetings to gather necessary documents, review financial records for accuracy, and identify all available deductions and credits to minimize tax liability. Tax Accountants also respond to urgent client questions, file extensions when needed, and coordinate with CPAs on complex returns involving multi-state issues, depreciation schedules, or specialized tax credits. The role requires managing tight deadlines while maintaining accuracy, as errors can result in penalties and interest for clients.

What qualifications and certifications does a Tax Accountant need?

A Tax Accountant typically needs a bachelor's degree in accounting or finance with specialized coursework in federal and state taxation, though some positions accept equivalent experience with professional certifications. All paid tax preparers must obtain a PTIN (Preparer Tax Identification Number) from the IRS and complete annual continuing education requirements to maintain their status. Many Tax Accountants pursue additional credentials such as the Enrolled Agent (EA) designation, which requires passing a comprehensive IRS exam, or work toward CPA licensure for advancement opportunities. Professional development in tax software platforms like Drake, UltraTax, or Intuit ProConnect is also essential for career growth.

Who does a Tax Accountant work with in their daily role?

A Tax Accountant collaborates closely with individual clients, small business owners, and corporate finance teams to gather tax information and explain filing requirements. They work alongside CPAs and Enrolled Agents on complex tax matters, often serving as the primary point of contact for routine client communications while escalating specialized issues to senior professionals. Tax Accountants also coordinate with bookkeepers and accounting clerks to obtain accurate financial records, and frequently interact with IRS representatives and state revenue agents when responding to notices or audit requests. During busy periods, they may work in teams with other tax preparers to manage workflow and ensure all client deadlines are met.

What is the average Tax Accountant salary and career growth potential?

Tax Accountants typically earn between $45,000 and $75,000 annually, with experienced professionals in major metropolitan areas earning $60,000 to $90,000 or more, especially those with specialized expertise in corporate taxation or multi-state compliance. Salary often includes seasonal bonuses during tax season, and many firms offer performance-based incentives tied to client retention and accuracy metrics. Career advancement opportunities include progression to Senior Tax Accountant roles, Tax Manager positions, or specialization in areas like international taxation or estate planning. Many Tax Accountants use this role as a stepping stone toward CPA licensure or Enrolled Agent certification, which can significantly increase earning potential and open doors to tax advisory and planning services.