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Tax advisor vs certified public accountant

The differences between tax advisors and certified public accountants can be seen in a few details. Each job has different responsibilities and duties. Additionally, a certified public accountant has an average salary of $76,693, which is higher than the $58,252 average annual salary of a tax advisor.

The top three skills for a tax advisor include local tax returns, reconciliations and customer service. The most important skills for a certified public accountant are CPA, customer service, and IRS.

Tax advisor vs certified public accountant overview

Tax AdvisorCertified Public Accountant
Yearly salary$58,252$76,693
Hourly rate$28.01$36.87
Growth rate-6%
Number of jobs76,71078,792
Job satisfaction--
Most common degreeBachelor's Degree, 54%Bachelor's Degree, 69%
Average age4744
Years of experience-4

What does a tax advisor do?

Tax Advisors are responsible for providing tax advice to clients in the area of tax legislation and tax obligations. Their duties include researching tax legislation, gathering client information, submitting tax returns, liaising with internal revenue service representing clients, and developing tax strategies. They are responsible for performing tax computations, forming family trusts, undertaking estate planning as well as consulting on matters regarding domicile and tax residence. Tax Advisors also give advice related to indirect taxation and prepare reports.

What does a certified public accountant do?

A certified public accountant (CPA) acts as an advisor to small businesses and chief financial officers to Fortune 500 companies. They typically work for both small and large public accounting firms. They offer advice on many issues, such as accounting and taxation. They aid businesses and individuals to plan and achieve their financial goals. There are several requirements to become a CPA, including having a degree in accounting, passing the CPA examination, and obtaining a CPA license to practice.

Tax advisor vs certified public accountant salary

Tax advisors and certified public accountants have different pay scales, as shown below.

Tax AdvisorCertified Public Accountant
Average salary$58,252$76,693
Salary rangeBetween $29,000 And $116,000Between $49,000 And $119,000
Highest paying CityCumberland, RIWashington, DC
Highest paying stateNew HampshireNew Jersey
Best paying companyDLA PiperApplied Materials
Best paying industryEnergyFinance

Differences between tax advisor and certified public accountant education

There are a few differences between a tax advisor and a certified public accountant in terms of educational background:

Tax AdvisorCertified Public Accountant
Most common degreeBachelor's Degree, 54%Bachelor's Degree, 69%
Most common majorAccountingAccounting
Most common collegeUniversity of Southern CaliforniaUniversity of Pennsylvania

Tax advisor vs certified public accountant demographics

Here are the differences between tax advisors' and certified public accountants' demographics:

Tax AdvisorCertified Public Accountant
Average age4744
Gender ratioMale, 36.6% Female, 63.4%Male, 43.2% Female, 56.8%
Race ratioBlack or African American, 9.7% Unknown, 4.0% Hispanic or Latino, 17.6% Asian, 10.1% White, 58.0% American Indian and Alaska Native, 0.6%Black or African American, 8.5% Unknown, 4.0% Hispanic or Latino, 10.8% Asian, 12.4% White, 64.0% American Indian and Alaska Native, 0.5%
LGBT Percentage8%7%

Differences between tax advisor and certified public accountant duties and responsibilities

Tax advisor example responsibilities.

  • Manage a staff of six for all aspects of tax compliance, tax accounting, research, planning and IRS audits.
  • Provide payroll processing, invoicing and tax support services for small consulting business using QuickBooks software.
  • Assist customers with IRS correspondence/notices.
  • Advise companies on international taxation law and bilateral taxation recognition regimes to identify most cost effective strategies.
  • Review domestic payroll reporting metrics, ensure home/host payments are updated and reconcile for timely submission and payment.
  • Start job by assisting TurboTax user's on how to enter information into the TurboTax program.

Certified public accountant example responsibilities.

  • Mentor highly skil accounting and tax management team to achieve establish objectives including conformity with GAAP compliance.
  • Maintain monthly client bookkeeping including bank reconciliations, account payable and prepare preliminary financial statements for CPA review.
  • Conduct bookkeeping, bank reconciliations and generate general ledgers as well as raise concerns about expenditure classifications and revenue recognition.
  • Prepare and review month-end close, including journal entries, general ledger account reconciliations, and financial statement supporting documentation.
  • Gain a working knowledge of audit objectives and procedures in compliance with GAAP and GAAS.
  • Prepare and monitor audit programs, assist management in design and monitoring of SOX compliance programs.
  • Show more

Tax advisor vs certified public accountant skills

Common tax advisor skills
  • Local Tax Returns, 8%
  • Reconciliations, 7%
  • Customer Service, 7%
  • IRS, 7%
  • Income Statement, 6%
  • Individual Tax Returns, 6%
Common certified public accountant skills
  • CPA, 48%
  • Customer Service, 22%
  • IRS, 7%
  • State Tax Returns, 5%
  • Payroll Tax Returns, 2%
  • Financial Statement Preparation, 1%

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