Six Career Paths for Senior Tax Managers

If you’ve risen through the ranks to Senior Tax Manager, you may already be considering what’s next in your career, whether that means moving up in your current firm or moving out in another direction. Anyone who’s reached your level has proven their expertise in tax strategy, compliance, and risk management, along with strategy and leadership. But there’s always more to aspire to.

Here are five of the potential next steps you could explore after ascending to Senior Tax Manager. The course you set will depend on your individual goals and preferences, but these are some of the most common career paths in the field.

Director of Tax

Many Senior Tax Managers take on the title of Director of Tax, which puts them in charge of their company’s entire tax function. These leaders play a larger role in corporate strategy when it comes to the tax implications of mergers and acquisitions, capital expenditures, corporate restructuring, and more. To get this job, you’ll need to display not only expertise in corporate tax policy and strategic tax planning, but also advanced leadership and management, along with strong relationships with external advisors and regulatory authorities.

Vice President of Tax or Chief Tax Officer

Another option is Vice President of Tax or Chief Tax Officer. These executive roles focus on the highest level of tax policy, governance, and business strategy at a corporation, shaping tax strategies and influencing broader financial decisions. Desirable candidates possess executive-level communication skills to engage with stakeholders, investors, and the board of directors. Their understanding of the implications of global tax policies and expertise in risk management and regulatory compliance must also be evident.

Tax Consultancy or Advisory Roles

Tax Consultancy or Advisory Roles give tax professionals the chance to broaden their impact by working independently or advising public accounting firms on various tax strategies, planning, and compliance. The golden ring here is establishing a private practice or becoming a partner in a firm. Naturally, client relationship management skills, along with strong communication and problem-solving abilities, are crucial supplements to a thorough knowledge of a wide range of tax issues.

International Tax Director or Manager

For those fascinated by the complexities of international tax law, International Tax Director or Manager is the obvious answer. This role specializes in the tax responsibilities of multinational corporations, foreign tax credits, cross-border transactions, transfer pricing, and regulatory compliance in multiple jurisdictions. People who attain this position have displayed their in-depth knowledge of international tax regulations and treaties, combined with their expertise in transfer pricing, multinational tax strategy development, and foreign tax compliance.

Mergers & Acquistions (M&A) Tax Specialist

Carving out a niche as a Mergers & Acquisitions (M&A) Tax Specialist will immerse you in the financial intricacies of corporate transactions. These experts work closely with financial and legal teams to cover all tax and due diligence considerations during mergers, acquisitions, and corporate restructurings. Professionals gunning for positions like this boast a solid foundation in corporate and partnership tax law, extensive knowledge in deal structuring, and previous collaborative alliances with advisors across several teams.

Partner

The ultimate goal in public accounting is to become a partner at the firm and gain equity. There are two partner tracks: income partner and equity partner.

An Income Partner shares in the profits of the firm without owning equity. They are typically responsible for managing client relationships, bringing in new business, and leading teams. This role requires strong leadership skills, the ability to attract and retain clients, and a deep understanding of the firm's operations and strategic goals.

On the other hand, an Equity Partner owns a portion of the firm and has a say in its strategic direction. Equity Partners share in both the profits and losses of the firm and are involved in high-level decision-making and governance. This role demands not only exceptional technical expertise and business acumen but also the ability to influence the firm's future direction and ensure its long-term success.

Staying Ahead

Regulatory changes, globalization, and technological advancements are constantly changing the game for tax professionals. To continue propelling your career, you must deftly adapt to new tools and software for automation, data analytics, and AI. You’ve made it this far, but you can never stop growing and seeking out new challenges.