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Accounting analyst vs tax analyst

The differences between accounting analysts and tax analysts can be seen in a few details. Each job has different responsibilities and duties. While it typically takes 2-4 years to become an accounting analyst, becoming a tax analyst takes usually requires 1-2 years. Additionally, a tax analyst has an average salary of $61,745, which is higher than the $58,399 average annual salary of an accounting analyst.

The top three skills for an accounting analyst include reconciliations, customer service and account reconciliations. The most important skills for a tax analyst are tax audits, reconciliations, and tax compliance.

Accounting analyst vs tax analyst overview

Accounting AnalystTax Analyst
Yearly salary$58,399$61,745
Hourly rate$28.08$29.69
Growth rate6%-7%
Number of jobs81,09756,223
Job satisfaction--
Most common degreeBachelor's Degree, 74%Bachelor's Degree, 70%
Average age4448
Years of experience42

What does an accounting analyst do?

An accounting analyst is responsible for supporting the accounting operations of an organization, analyzing financial transactions and financial statements, and resolving account discrepancies. Accounting analysts interpret financial data by consolidating account transactions, performing account reconciliation, and managing account receivables. They also assist in preparing and releasing invoices, issuing billing statements, and creating comprehensive financial reports on the company's budget and expenses. An accounting analyst must have excellent knowledge of the accounting principles and disciplines, as well as extensive analytical and communication skills to perform duties and meet deadlines under minimal supervision.

What does a tax analyst do?

A tax analyst specializes in managing and filing tax forms and tax returns, all while devising strategies to reduce tax payments legally. A tax analyst may work as a member of a company or independently. Moreover, in a company setting, the responsibilities of a tax analyst revolve around coordinating with different departments to obtain all necessary documentation and financial information, maintaining accurate and extensive records of all transactions, and resolving any issues or concerns. Furthermore, it is essential to remain updated with all the tax laws, all while adhering to the policies and regulations of the company.

Accounting analyst vs tax analyst salary

Accounting analysts and tax analysts have different pay scales, as shown below.

Accounting AnalystTax Analyst
Average salary$58,399$61,745
Salary rangeBetween $42,000 And $79,000Between $43,000 And $87,000
Highest paying CitySan Francisco, CASan Francisco, CA
Highest paying stateNew YorkMaine
Best paying companyGoogleMeta
Best paying industryFinanceTechnology

Differences between accounting analyst and tax analyst education

There are a few differences between an accounting analyst and a tax analyst in terms of educational background:

Accounting AnalystTax Analyst
Most common degreeBachelor's Degree, 74%Bachelor's Degree, 70%
Most common majorAccountingAccounting
Most common collegeUniversity of PennsylvaniaUniversity of Southern California

Accounting analyst vs tax analyst demographics

Here are the differences between accounting analysts' and tax analysts' demographics:

Accounting AnalystTax Analyst
Average age4448
Gender ratioMale, 41.6% Female, 58.4%Male, 42.9% Female, 57.1%
Race ratioBlack or African American, 8.7% Unknown, 4.0% Hispanic or Latino, 11.0% Asian, 14.3% White, 61.6% American Indian and Alaska Native, 0.5%Black or African American, 13.1% Unknown, 3.4% Hispanic or Latino, 15.6% Asian, 11.1% White, 56.6% American Indian and Alaska Native, 0.3%
LGBT Percentage7%8%

Differences between accounting analyst and tax analyst duties and responsibilities

Accounting analyst example responsibilities.

  • Manage and process all ACH, EFT and wire transfer transactions daily (debit or credits).
  • Manage reconciling monthly discrepancies between ERP transfers.
  • Manage budget submissions by subsidiaries in Europe/AFNE region in Hyperion.
  • Establish investment objectives to efficiently manage IPO proceeds within state risk parameters.
  • Maintain accounting controls by following GAAP and internal accounting policies; maintain financial security by following internal controls.
  • Review and approve monthly general ledger and bank account reconciliations for special condition accounts to ensure procedural consistency and compliance.
  • Show more

Tax analyst example responsibilities.

  • Utilize QuickBooks to manage client data and prepare necessary financial statements.
  • Own the preparation of the consolidated/worldwide provision calculations and AJE, including account reconciliations.
  • Prepare ASC 740 tax accounting calculations.
  • Input apportionment factors into OneSource tax system.
  • Correspond with taxpayers, accountants, and CPAs.
  • Assist in federal and state return preparation using OneSource software.
  • Show more

Accounting analyst vs tax analyst skills

Common accounting analyst skills
  • Reconciliations, 12%
  • Customer Service, 7%
  • Account Reconciliations, 6%
  • GAAP, 5%
  • Strong Analytical, 4%
  • Payroll, 4%
Common tax analyst skills
  • Tax Audits, 6%
  • Reconciliations, 4%
  • Tax Compliance, 4%
  • Tax Payments, 4%
  • Tax Software, 4%
  • Income Tax Returns, 4%

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