As experts in the accounting industry for over 50 years, we have seen that at times, business owners are unsure if they should seek the guidance of our expert tax accountants or accounting advisors. While both provide crucial financial services, their focus areas and responsibilities differ significantly, and it’s important to understand the difference so you can make an informed choice.
In this Perry & Associates CPAs blog, gain a better understanding of the fundamental differences between tax accountants and accounting advisors.
What is the Role of a Tax Accountant?
Tax accountants are financial professionals who specialize in preparing tax documents, advising clients on taxation matters and ensuring that individuals and businesses comply with tax laws. At Perry & Associates CPAs, we are proactive in our approach and stay current on new tax laws and legislation so we can identify and address key tax planning opportunities to minimize your liabilities.
Our tax accountant services include the following:
- Estate & Trust Tax Preparation
- IRS Representation
- Sales Tax Services
- Tax Planning & Preparation
- Non-Profit Tax Services
What is the Role of an Accounting Advisor?
An accounting advisor is a professional who provides guidance and support to businesses on various accounting matters. While they can have a broader, more strategic role that guides clients toward sustainable growth, they also help clients maintain meaningful, well-organized financial records that are paramount to running a business effectively and efficiently on a daily basis.
Our accounting advisor services include the following:
- Audit Services
- General Bookkeeping/Write-Up
- Cash Flow & Budgeting Analysis
- Payroll Services
- Financial Forecasts & Projections
- Financial Statement Preparation
- Reviews & Compilations
- As-Needed Accounting Consultation Services
Key Differences:
A tax accountant has specialized knowledge of tax laws, rules and regulations, whereas an accounting advisor usually has a broader range of financial expertise. Also, while some may only feel the need to consult their tax accountant to prepare for tax season, accounting advisors tend to work as part of the client’s financial team, providing advice and guidance throughout the year. In summary:
- If your focus is on tax compliance, filing accurate tax returns, minimizing tax liabilities or resolving tax disputes, a tax accountant can provide you with the guidance you need.
- If you need help with day-to-day financial management, such as bookkeeping, preparing financial statements, or making long-term financial decisions, seek an accounting advisor to stay on track.
If you think your organization could benefit from a tax accountant and accounting advisor, you can choose to have both!
