What a Corporate Tax Accountant Does

Barely a week goes by without Ireland’s much published corporate tax rate making the news. Whether it's foreign leaders decrying Ireland’s supposedly unfair tax advantage or yet another corporate giant making Ireland their home, Ireland’s tax rate remains as controversial as ever.
So why does our corporate tax rate generate so many headlines? While Ireland’s 12.5% corporate tax rate is certainly low when compared to the European average of 19.35%, this 12.5% isn’t the lowest in the world. The distinction of the world’s lowest corporate tax rate is shared between Hungary and Montenegro. Both Hungary and Montenegro offer a 9% tax rate to corporations.

Even with lower tax rates available globally, so many international corporate giants still select Ireland as their operational base.
Despite what critics of Ireland’s low tax rate might believe, tax incentives are not the only reason international businesses call Ireland home. To put it simply, Ireland is one of the best places in the world to do business. In particular, for incorporated businesses, Ireland is a gateway to the massive European market. Our business-friendly government fight’s to keep this 12.5% tax rate in place despite international pressure.
To make sure your business can take full advantage of Ireland’s business-friendly policies, you need a knowledgeable corporate tax accountant. This begs the question. What exactly does a Corporate Tax Accountant do?

 

 Corporate Tax Accountant: The Basics

In the broadest possible strokes, a corporate tax accountant makes sure that a company submits and pays its annual corporate tax liability. However, a corporate tax accountant is also expected to advise on tax strategies, business structure and they are expected to make recommendations on risk migration. In brief, a corporate tax accountant should make suggestions that allow a limited company to be as tax efficient as possible. To do this, a corporate accountant must have an in-depth and up-to-date understanding of Irish corporate tax law.
Like every country in the world, Irish tax law is an extremely complex area that changes and evolves alongside successive governments. Therefore a corporate tax accountant needs to be constantly learning and updating their knowledge.

 

Key Responsibilities of a Corporate Tax Accountant

Depending on the organisation, the key responsibilities of the corporate accountant may vary; however, the accountant will usually be overseeing

- The collection and compiling of the corporation’s financial data
- Compiling and filing the business’s annual tax returns
- Calculating the exact amount of corporate tax the company owes
- Researching and identifying strategies to mitigate tax risks
- Critically accessing a company’s structure to determine a practical budget
- Remaining up-to-date with tax procedures and developments
- Assisting with internal audits
- Identifying strategies to eliminate potential tax costs and inefficiencies


Conclusion

The above is just the briefest of introductions to the role of a corporate tax accountant in Dublin. If you feel your limited company is paying too much tax or not taking advantage of Ireland’s wealth of tax breaks, contact our Swords offices today. We work with both Irish businesses and international businesses that are interested in relocating to Ireland.

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