What Is a Tax Analyst? 2026 Career Guide

Key takeaways

• Tax analysts help individuals or businesses complete their tax returns and other tax forms.

• Tax analyst jobs require researching federal and state tax regulations, educating clients on them, preparing financial reports, and collaborating with other financial professionals.

• A senior tax analyst typically has at least five years of professional experience and may earn a master’s degree to advance into this role.

To become a tax analyst, you can earn your bachelor’s degree and a relevant certification as well as gain professional tax experience through an internship or entry-level job. Learn about the work of tax analysts and how you can prepare for this career. If you’re ready to build your finance skills, consider enrolling in Wharton’s Introduction to Finance and Accounting Specialization. In as little as four weeks, you’ll have the opportunity to learn about corporate finance, financial forecasting, financial statement analysis, and more.

What does a tax analyst do?

As a tax analyst, you will support your clients with their tax returns and other tax forms. Your client may be an individual or a business. Proper compliance with state and federal regulations is a crucial part of this role since tax laws and codes can change. This requires you to perform ongoing research and keep clients informed with important information regarding their taxes.

Tax analyst tasks and responsibilities

As a tax analyst, you will have a wide range of responsibilities and will work within specific time restraints to ensure you submit tax returns on time according to state and federal deadlines. Another necessity for tax analysts is committing to regular learning so that you’re aware of any changes relating to tax law. The following are some common tasks you may perform as a tax analyst:

• Prepare both federal and state tax returns

• Continuously research and learn about the latest developments in tax regulations, on both a federal and state level

• Collect necessary data from clients

• Educate clients on tax regulations and compliance.

• Collaborate with accountants, auditors, and taxpayers

• Calculate taxes as well as establish opportunities to save money on taxes

• Develop financial reports

Types of tax analysts

When it comes to tax analyst positions, you can find several related roles with varying job titles, such as:

• Property tax analyst

• Income tax analyst

• State tax analyst

• Federal tax analyst

• Sales tax analyst

• Tax compliance analyst

• Indirect tax analyst

• Payroll tax analyst

Additionally, you can progress in your career and become a senior tax analyst. Senior tax analysts typically have a minimum of five years of tax experience. Earning a master’s degree, as well as a certified public accountant (CPA) license, can help improve your chances of moving on to a senior position.

Tax analyst skills

As a tax analyst, you will need to equip yourself with technical and workplace skills. Developing these skills will help you qualify and succeed in this role.

Technical skills

• Analytical skills: Given the significant amount of financial data involved in your work as a tax analyst, combined with the goal of minimizing tax payments, you will need to leverage your technical skills. Your analytical expertise, in particular, will help you to identify cost-saving strategies.

• Tax software: When it comes to filing taxes, you will typically use tax software to help you prepare documents. Some of the more popular tax software tools include UltraTax CS, Drake Tax, Intuit Lacerte Tax, and Intuit ProSeries Tax.

Workplace skills

• Communication: Not only do you need to communicate and document information within tax forms effectively, but you also need to share information with clients and ensure they are aware of regulations for compliance purposes. Additionally, to best serve your clients, it's important to listen to their needs to understand their situation fully.

• Research: Learning continuously about tax laws is important for helping clients reduce their overall tax obligations. This is in addition to ensuring you’re working in accordance with regulations, which can change over time.

Tax analyst salary and job outlook

According to data from Glassdoor, the median total salary for tax analysts is $87,000 [1]. This figure includes base salary and additional pay, which may represent profit-sharing, commissions, bonuses, or other compensation. Accounting and auditing positions have a positive job outlook over the coming years, with the US Bureau of Labor Statistics projecting 5 percent growth from 2024 to 2034 [2].

To maximize your earning potential, consider looking for work in one of the states where tax analysts earn the highest salaries, such as Maine, California, Washington, New Jersey, or Vermont [3].

Read more: Tax Analyst Salary: Your 2026 Guide

How to become a tax analyst

To become a tax analyst, you first need to meet certain education requirements and should also consider earning specific certifications to improve job opportunities.

Education and training

Becoming a tax analyst begins with earning a bachelor’s degree. You have several options to choose from when deciding what type of bachelor’s degree to earn. Your coursework should include various types of accounting to prepare you with the necessary knowledge for your future career. Ultimately, bachelor’s degrees in finance, accounting, or a similarly related field are ideal. Although not a requirement, continuing your education to earn a master’s degree is valuable and can prove valuable for advancing in your career.

Certifications

Earning a designation such as certified public accountant may help you qualify to work as a tax analyst. Becoming a CPA requires you to pass the CPA exam, which consists of four different sections. Some select states also require you to complete additional college credits beyond your bachelor’s degree, for a total of 150 credits.

Professional experience

Gaining relevant work experience can help prepare you for work as a tax analyst, whether it be an internship while you earn your degree or an entry-level position where you can gain tax knowledge and experience. Additionally, several states require you to have at least one year of accounting work experience to be eligible for a CPA license.

Do you need a CPA to be a tax analyst?

While becoming a CPA may help you secure a tax analyst job, this designation is not required. However, being a CPA can broaden your professional responsibilities, allowing you to manage external audits or represent clients in Internal Revenue Service (IRS) proceedings.

Discover free resources for your tax analyst career

Subscribe to Career Chat, our LinkedIn newsletter, to stay up-to-date on emerging industry trends. Then, check out the following free resources as you consider a career in tax and accounting:

• Read our Career Chat issue: Job Search Tips for Entry-Level Roles

• Take a quiz: Career Test: What Career Is Right for Me Quiz?

• Watch on YouTube: 7 Key Communication Skills to Thrive in Your Career

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