How to Choose the Best Tax Consultants in Abu Dhabi

Who is a Tax consultant?

Tax consultants are experts who excel in taxation and financial-related counseling.

They offer clients with advice on income tax returns and various financial issues, such as retirement taxes, trusts, and estates. They also stay updated on the latest taxation laws and regulations to cater to the evolving business landscape.

Tax consultants frequently have more experience than tax accountants and can offer enhanced expertise to better serve their clients’ needs. According to Statista

The demand for financial advisory services in the UAE is surging, driven by the country’s robust economic growth and rising wealth.

What is the difference between a tax consultant and a tax accountant?

Tax consultants are more engaged in developing strategies and advising on complicated tax-related topics, while tax accountants concentrate on the practical aspects of filing and completing taxes.

For example, a start-up looking to expand globally could profit from a tax consultant’s knowledge or expertise in international tax law. On the other hand, an individual who wants to submit annual tax returns precisely would likely need the assistance of a tax accountant.

Tax consultants actively plan for major financial events like mergers and acquisitions, foreign transactions, and estate planning. Additionally, they can provide knowledge in particular fields like tax credits, deductions, and legal tax-free zones.

Roles and responsibilities of the tax consultants

Here are the key roles and responsibilities of tax consultants:

Providing tailored tax advice

Tax consultants plan client meetings to understand their financial circumstances and taxable income. They also suggest methods to enhance and streamline the tax filing process for their clients.

Creating and reporting annual accounts

One advantage of using tax consultants in Abu Dhabi is that they can guarantee the reliability and precision of your financial records. This helps businesses to pay the minimum amount of taxes due and lowers the possibility of a legal investigation. Tax consultants are experts in crafting personalized tax-reduction plans to efficiently reduce the business’s tax obligations.

Offering legal representation

Although no one enjoys being audited by the tax authorities, having a tax consultant will be useful. They will assist businesses in obtaining the necessary paperwork, guide them through the audit procedure, and speak to the tax authorities on their behalf.

Their knowledge and experience can greatly impact an audit, saving businesses from unnecessary fines or additional taxes.

Enabling legal education and training

Tax consultants’ primary task is advising clients about tax-saving possibilities and strategies. Through continuous education and assistance, they enable their customers to make wiser financial choices and improve their understanding of intricate tax issues.

Steps to choose the best tax consultants in Abu Dhabi

Here are the steps to help you select the best tax consultants in Abu Dhabi.

Define the business requirements

Make a list of everything your business needs to perform before you begin your search.

Tax consultants excel in various domains. Certain experts, for instance, focus on preparing taxes for several businesses, while others help several clients with year-round financial decisions.

By understanding your business requirements, you can find the right tax consultant more effectively.

Research the potential tax consultants

The next step involves researching the prefect tax consultant online and reading reviews on sites like Yelp, Google, and other Abu Dhabi business directories.

Evaluate the tax consultant professional website for details on their services and expertise.

You can also ask for a referral if you’re a member of the business clubs or association or if you have a social network with other business owners.

Referrals can allow you to directly ask different clients about their experiences, including concerns like turnaround time, professionalism, expenses, and their overall impression of a suitable tax consultant.

 Check whether they can operate in the industry

Every sector or industry will have its specialized tax consultant. For instance, every industry—such as travel, oil, transportation, medical, etc.—will have tax specialists with immense knowledge of that field.

A tax professional working for a business owner or an individual will have no idea how oil revenues are taxed in Abu Dhabi and vice-versa.

Therefore, ensuring the tax consultant is compatible with your sector is essential.

Check the level of expertise and qualification

Tax consultants who have prior experience with similar businesses can offer helpful insights and customized solutions to industry-specific difficulties and challenges.

Seek advisors with professional tax qualifications like certified public accountants (CPAs).

 Assess the cost and availability

Businesses should employ a tax expert that fits their schedule and budget.

The tax professional should be available during the hours and seasons businesses need them.

They should also suit the business’s budget for all necessary tasks.

 Book a demo consultancy

Many tax consultants provide a free initial consultation.

Take advantage of this to determine their knowledge and compatibility.

When you schedule a demo, you can learn a lot about tax experts, such as how well they connect with your organization and whether they can provide valuable services.

You can ask the tax expert some of the essential business taxation questions. Asking them different questions will assist you in learning more about who they are, about reliability and other kinds of credibility in their field of work.

A consultation can also help businesses to determine how well you and a potential tax expert will get along.

Review their services

Before finalizing your choice, ensure that the tax advisor provides the specific services you need. The range of services must match your financial requirements. Select an accountant who can fulfill the taxation demands based on whether the business requires bookkeeping, auditing, tax preparation, financial planning, or a mix of these services.

Draft an agreement

Before you agree to collaborate and work with a tax consultant, document everything in writing. This covers their costs, services, and any additional obligation you make.

Must-Have Skills in a Tax Consultant

Here are the must-have skills in a tax consultant:

Knowledge about the tax laws

Understanding applicable tax laws is crucial for tax preparation and consulting duties. This allows tax experts to understand the regulations and rules that apply to the taxation that businesses file.

As tax consultants, they can utilize their immense knowledge when looking for potential deductions or additional sources of savings for a client. They can also use their tax law understanding to guarantee compliance with the organization, assisting them in remaining within the laws when submitting their taxes.

So, it is important to check that the tax consultants have adequate knowledge of the financial markets, current legal trends, and taxation laws.

Attention to detail

Tax consultants offer more than just tax filing services! They analyze the market and find the best solution for a business’s legal requirements.

They need to pay keen attention to detail to comprehend the nitty-gritty of the financial markets. This skill is valuable because it helps them examine a client’s financial records.

It allows them to note important details in businesses’ financial records and identify important questions they can ask you to fully understand the business’s financial situation when making tax recommendations.

Technological proficiency

As technology evolves, it has become increasingly crucial to be competent in the most recent tax software and tools. This involves knowledge of tax preparation tools, data analytics platforms, and electronic filing systems.

If tax consultants have technological abilities, they can improve their productivity and accuracy by handling enormous datasets and automating routine activities, freeing up time for more strategic tax planning.

Seamless communication

Tax consultants can assist clients with limited financial literacy in understanding complex and confusing tax-related concepts.

To effectively communicate tax strategies and implications and offer guidance, tax consultants need to possess great communication skills, whether they assist a working professional in reducing their tax liability through wise investment choices or helping a business submit its taxation forms.

Final thoughts

Selecting the right tax consultant for your enterprise is one of the most important decisions, as a good tax consultant can really make the difference between success and failure. You can choose the best tax consultant for your business by following the above points.

Business owners work hard to build and maintain their organization, so it’s important to ensure that they develop strong professional relationships with their chosen tax consultant. Don’t forget they are an integral part of their business’s success.