An international tax manager ensures a multinational company complies with tax laws in each country it operates in, while also saving money by using tax laws to the company’s advantage. They must have a degree in accounting, language skills, and knowledge of national and international laws. They calculate overall tax liability, keep up with legislative developments, and advise on the best way to deploy assets to minimize tax liability. They also chair a tax or accounting department and are responsible for hiring, training, and firing employees.
An international tax manager is responsible for ensuring that a multinational company complies with tax laws in each of the countries in which it operates. Some large companies employ individuals as in-house tax managers, while others are employed by accounting firms that provide tax advice to companies on a contractual basis. In addition to compliance issues, an international tax manager is tasked with saving money by using tax laws to the advantage of the company.
Typically, an international tax manager must have completed a university degree in accounting. Also, most companies only employ licensed or certified accountants in these roles. Due to the nature of the job, many companies require tax managers to have second language skills and some familiarity with national and international laws and treaties.
Multinational companies often manufacture and sell goods in a variety of different nations. In many cases, a company may have to pay corporate income tax in several different countries, as taxes may be payable in any country where the company operates. An international tax manager must calculate the company’s overall tax liability and ensure that taxes are paid in full in order to avoid fines or other types of fines. As tax laws can change frequently, the tax manager must also keep up to date with legislative developments and inform senior management whenever tax brackets are raised or lowered.
To facilitate cross-border trade, many countries enter into international tax agreements that allow multinational companies to avoid double taxation of corporate profits. The international tax manager must advise the company’s directors on the best way to deploy the company’s assets in order to minimize the company’s tax liability. In some cases, a company may benefit from closing a manufacturing department in one country and opening a new plant in another country with more business-friendly tax laws. In many countries, tax brackets are differentiated, which means that the tax rate increases if a company’s profits exceed a certain level. Therefore, a tax manager may advise senior management to scale back production in one country and increase operations in other countries in order to avoid tax increases.
An international tax manager typically chairs a tax or accounting department, and all officers and directors employed in that department report directly to the manager. Therefore, the manager has the authority to assign counters to specific projects. The manager is also responsible for hiring, training, and firing employees.
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