20 Tax Professional Interview Questions and Answers

You’ve just been invited to an interview for a tax professional position—congratulations! Now comes the hard part: preparing.

As you know, there are many facets of being a successful tax professional. You need knowledge of tax law and regulations, sure. But you also have to be able to communicate clearly with clients, think critically about problems, and stay organized.

To help you prepare for your upcoming interview, we’ve put together a list of common questions asked during tax professional interviews. Read on, and get ready to ace them!

1. What experience do you have with preparing and filing taxes for individuals, businesses, and trusts?

Tax professionals are expected to be knowledgeable in their field and have a deep understanding of the tax code and how to apply it to different situations. This question gives the interviewer an opportunity to see what type of tax experience you have and how prepared you are to handle different types of clients.

How to Answer:

Start by discussing your experience with filing taxes for individuals, businesses and trusts. Talk about any additional certifications or qualifications you have that make you an expert in the field. Be sure to mention any relevant software programs you’ve used in the past, such as TurboTax or ProSeries. Finally, discuss how you stay up-to-date on tax laws and regulations so you can provide accurate advice and service to clients.

Example: “I have extensive experience preparing and filing taxes for individuals, businesses, and trusts. I am a Certified Public Accountant (CPA) with additional certifications in both individual and business taxation, as well as estate planning. I’ve used several tax preparation software programs over the years, including TurboTax, ProSeries, QuickBooks, and TaxAct. Additionally, I stay current on all changes to the tax code by regularly attending seminars and webinars hosted by industry leaders.”

2. How familiar are you with the latest tax laws and regulations?

The tax landscape is always evolving, and tax professionals need to stay up to date on the latest laws and regulations. By asking this question, the interviewer is trying to gauge your knowledge of the industry, as well as your commitment to staying on top of changes and developments.

How to Answer:

To answer this question, you should be prepared to discuss your knowledge of the latest tax laws and regulations. Talk about any courses or seminars that you have taken to stay up to date on changes in the field and how you use this information to help clients with their taxes. You can also mention any professional organizations or resources that you use to keep informed. Finally, emphasize your commitment to staying current with developments in the industry by discussing any additional training or certifications you are planning to pursue.

Example: “A few months ago, I was working with a small business owner who wasn’t sure how to file their taxes. So I took the time to explain the various tax regulations and laws that applied to them in an easy-to-understand way. I provided resources like charts and diagrams to help illustrate my points and make it easier for them to understand. We then discussed different strategies they could use to maximize their deductions and minimize their liabilities. In the end, they were very satisfied with my explanation of the situation and felt more confident about filing their taxes.”

3. Describe a time when you had to explain complex tax concepts to a client in an easy-to-understand way.

Being a tax professional requires a deep understanding of the tax code, but it also requires the ability to communicate those concepts in a way that’s easy for your clients to understand. This question is designed to test your ability to do just that. It also gives the interviewer an idea of how you go about problem solving and how you approach client interactions.

How to Answer:

Start by explaining the situation. Talk about the client you were working with, what their tax issue was, and how you approached it. Then talk through the steps you took to explain the concept in an easy-to-understand way. Be sure to include any resources or materials that you used and emphasize how your approach helped the client understand the issue better. Finally, discuss the outcome of the conversation and how it improved the client’s knowledge of taxes and their overall satisfaction with the service you provided.

Example: “Last year I had a client who was completely new to taxes and didn’t understand the basics of filing. To help explain the process, I created an easy-to-follow infographic that outlined each step in the filing process. We went over it together, and I explained how certain deductions could reduce their tax liability. They were able to follow along with the visual representation and asked questions as we progressed through the material. After our meeting, they said they felt much more confident about filing their taxes and thanked me for my help.”

4. Are you comfortable working with large amounts of data?

Tax professionals must be familiar with the complex laws and regulations that govern taxes, as well as adept at working with large amounts of data. An interviewer will want to know if you can handle working with vast amounts of financial information, and if you’re comfortable working with huge amounts of data. This question helps them to gauge your ability to handle this type of work.

How to Answer:

You should emphasize your experience with data, whether it’s from a previous job or an educational program. Be sure to mention any software programs you are familiar with that can help you work with large amounts of data efficiently and accurately. You should also explain how you use data to draw conclusions and make decisions. Finally, if you have ever managed a team or project involving data analysis, this is the perfect opportunity to highlight your leadership skills.

Example: “I am very comfortable working with large amounts of data. I have a strong background in financial analysis and have worked extensively with tax software programs such as TurboTax, TaxCutter, and H&R Block. I also have experience managing teams that analyze large datasets to identify trends and develop strategies for reducing taxes. I understand the importance of accuracy and efficiency when dealing with large amounts of data and strive to ensure that all calculations are correct and up-to-date.”

5. Explain your understanding of the different types of deductions available to taxpayers.

This question is designed to test your knowledge of the tax system, which is essential for a tax professional. The interviewer wants to make sure you understand the different types of deductions that can be claimed on tax returns, and the requirements needed to qualify for those deductions. They also want to make sure you can explain this information in a clear and concise way.

How to Answer:

Start by explaining the two main types of deductions: itemized and standard. Then, provide examples of specific deductions that fall under each type. For example, you can mention mortgage interest and charitable contributions as examples of itemized deductions, and state and local taxes as a common example of a standard deduction. Finally, explain how taxpayers must meet certain criteria in order to qualify for these deductions. Be sure to emphasize your knowledge of the tax system and your ability to clearly explain complex concepts.

Example: “There are two main types of deductions available to taxpayers: itemized and standard. Itemized deductions include things like mortgage interest, charitable contributions, medical expenses, and investment losses. Standard deductions refer to a fixed amount that can be deducted from taxable income without providing additional documentation. Common examples of this type of deduction include state and local taxes, as well as certain credits for the elderly or disabled. To qualify for these deductions, taxpayers must meet certain criteria, such as having sufficient proof of the expenses incurred or meeting the age or disability requirements.”

6. What strategies do you use to ensure accuracy when preparing tax returns?

Tax preparation is a demanding and detail-oriented job, and accuracy is essential. The interviewer wants to know what methods and strategies you use to make sure that each return is completed correctly and on time. Questions such as this will help them understand your process for completing tax returns and give them an idea of your level of expertise.

How to Answer:

When answering this question, it’s important to emphasize your attention to detail and your ability to double-check your work. Talk about how you review each return multiple times before submitting it, as well as any strategies you use to ensure accuracy such as using tax software or researching the latest regulations. You can also mention that you stay up to date on all changes in tax law and take continuing education classes regularly to keep your skills sharp.

Example: “I take accuracy very seriously when it comes to tax preparation. I always double-check my work before filing a return, and I use multiple methods to ensure that all information is correct. For example, I utilize the latest tax software programs to help me calculate taxes accurately and quickly. Additionally, I stay up to date on any changes in laws or regulations so that I can properly advise clients on their best options. Finally, I make sure to attend continuing education classes regularly to make sure my skills are sharp.”

7. Have you ever encountered a situation where you had to research a particular tax issue in order to provide advice to a client?

Tax professionals often need to be able to think on their feet and provide accurate advice even in cases where the answer isn’t immediately obvious. This question is a great way for the interviewer to assess your problem-solving and research skills, as well as your ability to think critically and provide sound advice.

How to Answer:

This is a great opportunity to showcase your problem-solving skills. Start by talking about the client’s situation and what you did to research it, such as consulting tax laws or speaking with colleagues who had expertise in the area. Then explain how you used that information to provide advice to the client. Finally, talk about the outcome of the situation, whether the client was able to successfully resolve their issue or if there were any unexpected obstacles along the way.

Example: “I recently had a client who was confused about how to file their taxes for the previous year. After consulting relevant tax laws, I spoke with several colleagues who were more experienced in this field and researched any potential changes that might have been made since the client’s last filing. Based on my research and conversations with my colleagues, I was able to provide the client with an accurate solution that allowed them to successfully file their taxes. Additionally, I provided additional advice on ways that the client could further reduce their taxable income in future years.”

8. Tell me about a time when you had to negotiate with the IRS on behalf of a client.

Tax professionals must be adept at dealing with the IRS and other government entities. This question will give the interviewer an idea of the applicant’s experience in dealing with the IRS. The candidate should be able to demonstrate how they were able to handle the negotiation and come to a successful agreement with the IRS.

How to Answer:

To answer this question, you should provide a specific example of when you had to negotiate with the IRS on behalf of a client. Explain how you were able to successfully come to an agreement with the IRS and what strategies you used in the negotiation process. Be sure to emphasize your ability to remain professional while dealing with delicate situations. You can also discuss any challenges you faced during the negotiation process and how you overcame them.

Example: “I recently had to negotiate with the IRS on behalf of a client who was facing a large tax bill. I was able to successfully negotiate a payment plan that was agreeable to both the client and the IRS. I used my knowledge of the tax code to demonstrate why the client should be given leniency in the payment plan. I was also able to remain professional and courteous throughout the negotiation process, which was essential for coming to a successful agreement.”

9. Do you have any experience with international taxation?

Taxation is a complex field, and international tax laws are even more intricate. If a company is involved in overseas business, they’ll be looking for someone who knows the specific regulations and laws that govern their operations in other countries. By asking this question, the interviewer is trying to gauge your level of knowledge and experience in this area.

How to Answer:

If you have experience with international taxation, be sure to highlight it. Talk about the countries and regions you’ve worked in and the specific laws you’re familiar with. If you don’t have any direct experience, talk about your general knowledge of international tax laws and regulations and how you would apply them to a particular situation. This will show that you’re eager to learn and can quickly get up to speed on new topics.

Example: “I’m very familiar with the tax laws and regulations that govern international business. I have experience working with clients in the European Union, and I’m also knowledgeable about the taxation laws in India, Japan, and other countries. I’ve worked with clients to ensure that their international operations are compliant with local laws and regulations, and I’m confident I can do the same for your company. Additionally, I’m always looking to stay up to date on the latest changes in international tax laws, so I can ensure that your company is in compliance with the most current regulations.”

10. What is your approach to helping clients plan for their future tax liabilities?

Tax professionals need to know how to help their clients plan for their future tax liabilities, as well as how to minimize them. This question allows the interviewer to gauge your knowledge of the tax preparation process and your ability to provide long-term support. It also shows if you have a proactive approach to helping clients and a thorough understanding of the tax code.

How to Answer:

You should be prepared to discuss the strategies you use to help clients plan for their future tax liabilities. Be sure to mention any specific methods or techniques that you have used in the past, such as setting up a budget and tracking expenses, using software to track deductions, or creating projections based on current income levels. Additionally, explain how you stay informed of changes in the tax code and how you inform your clients about them. Finally, emphasize the importance of staying compliant with all applicable laws and regulations.

Example: “I always strive to provide my clients with the best possible tax planning advice and strategies. I use a combination of budgeting, software, and projections to help them plan for their future tax liabilities. I am well-versed in the current tax code and stay up-to-date on any changes or updates. I also provide my clients with information about any new laws or regulations that may affect them. I believe that tax planning is an important part of financial planning, and I strive to help my clients make the best decisions for their future.”

11. How do you handle situations where a taxpayer has not kept accurate records or failed to report income?

Tax professionals must be able to handle a wide range of complex financial situations, some of which have legal implications. This question is designed to gauge your understanding of the process and your ability to handle sensitive matters with discretion.

How to Answer:

Start by explaining the steps you would take to assess the situation. You should emphasize that accuracy is key in any tax preparation, and explain how you would work with the taxpayer to ensure their records are accurate and up-to-date. Explain the importance of thorough record keeping and reporting income accurately, as well as the potential legal implications if these requirements are not met. Finally, discuss your approach to helping taxpayers understand and comply with regulations while also managing their financial obligations.

Example: “In situations where a taxpayer has not kept accurate records or failed to report income, I take a two-pronged approach. First, I work with the taxpayer to ensure that all records and income are accurately reported. I explain the importance of record keeping and reporting income, and the potential legal implications if these requirements are not met. Then, I help the taxpayer understand and comply with regulations while also managing their financial obligations. I also provide resources and advice to help them keep their records organized in the future. Ultimately, my goal is to help the taxpayer understand the process and ensure that all their financial obligations are met.”

12. What strategies do you use to stay up-to-date on changes in the tax code?

Tax professionals need to be well-versed in the ins and outs of the tax code, and that requires a lot of research and staying up-to-date on changes. An interviewer will want to know if you’re proactive in keeping up with the industry standards and that you’re able to stay ahead of the curve when changes occur.

How to Answer:

You should be prepared to answer this question by talking about the methods you use to stay informed. You can discuss subscribing to industry publications, attending seminars and webinars, or relying on colleagues for advice. If you’re already a tax professional, mention any certifications or continuing education courses that you may have taken to keep your knowledge up-to-date. Additionally, if you’ve ever been asked to speak at a conference or teach a class, feel free to include that in your response as well.

Example: “I take staying up-to-date on changes in the tax code very seriously. I subscribe to several industry publications and blogs, attend webinars and seminars whenever possible, and I have a network of colleagues that I reach out to when I have questions. Additionally, I’m a Certified Public Accountant, so I’m required to complete continuing education courses every year to maintain my license. I also keep an eye out for new laws and regulations that are being proposed, so I can be prepared for any changes that come down the pipeline.”

13. Describe your experience with auditing financial statements and identifying discrepancies.

Auditing financial statements and identifying discrepancies is a critical part of a tax professional’s job. This question allows the interviewer to assess your ability to review financial documents for accuracy and identify any errors or inconsistencies. The interviewer can gain a better understanding of your knowledge and experience in this area, as well as your attention to detail, problem-solving skills, and ability to work under pressure.

How to Answer:

Start by giving an overview of your experience with auditing financial statements and identifying discrepancies. Explain any specific techniques or processes you use when reviewing documents, such as double-checking calculations and cross-referencing entries. Discuss any challenges you’ve encountered in the past and how you overcame them. Finally, illustrate your success stories and explain why your approach is effective.

Example: “I have extensive experience auditing financial statements and identifying discrepancies. I always start by double-checking calculations and cross-referencing entries to ensure accuracy. I’m also familiar with a variety of industry-specific regulations and guidelines, which helps me to quickly identify any potential issues. I’m comfortable working under pressure and am able to remain calm and focused when identifying discrepancies. I’m also very detail-oriented and have a keen eye for spotting errors. In the past, I’ve identified errors in a client’s financial statements that resulted in a significant savings in taxes owed. I’m confident that my attention to detail and knowledge of regulations will be an asset to your team.”

14. What would you do if a client was unable to pay their taxes due to financial hardship?

No matter the type of tax professional you are, dealing with client financial hardships is part of the job. Being able to make sound decisions in these situations is key, and it’s important that potential employers see that you have the knowledge and understanding to handle these delicate situations with care. The interviewer will want to know if you understand the different options available to the client and how you would go about helping them.

How to Answer:

Start by explaining what options the client has, such as filing for an extension or setting up a payment plan. Then explain your approach to helping them choose the best option for their situation. You should also emphasize that you understand the importance of confidentiality when it comes to clients’ financial information and stress how seriously you take this responsibility. Finally, share any experience you have dealing with similar situations in the past and how you were able to help the client.

Example: “If a client was unable to pay their taxes due to financial hardship, I would start by reviewing their financial documents and provide them with a clear overview of the options available to them. I would then explain the pros and cons of each option and help them decide on the best course of action for their situation. I understand the importance of client confidentiality and would always ensure their information remains secure. I’ve had experience in the past helping clients with similar situations and have been successful in finding a resolution that works for everyone.”

15. How do you handle difficult conversations with clients who owe back taxes?

Tax professionals are often in the unenviable position of having to deliver bad news to clients. With this question, the interviewer is trying to get a sense of how you handle these difficult conversations while still being sympathetic to the client’s situation. Your answer should demonstrate that you understand the responsibility of the role and are capable of taking the right steps to help the client get back on track.

How to Answer:

Start by talking about how you would prepare for the conversation. Explain that you would review the client’s tax documents and be sure to have all of the information they need on hand before meeting with them. Talk about your approach to the conversation, emphasizing your empathy and understanding while still being firm in delivering the news. Finally, explain what steps you would take to help the client resolve their back taxes, such as setting up a payment plan or helping them apply for an extension.

Example: “When I have to deliver difficult news to a client, I start by making sure I have all the information they need on hand and that I understand their financial situation. I also try to be empathetic and sympathetic while making sure they understand the gravity of the situation. I would explain that they owe back taxes and the consequences of not resolving the issue. I would then offer to help them set up a payment plan or apply for an extension if needed. I would also provide them with resources to help them stay on track and ensure that they understand the steps they need to take to get back in good standing with the IRS.”

16. What strategies do you use to identify potential areas of noncompliance within a company’s tax filings?

Tax professionals are expected to have a deep understanding of tax laws and regulations and the ability to proactively identify potential issues and areas of noncompliance. This question serves as a way to assess your knowledge base and understanding of the field, as well as your problem-solving skills and ability to think critically.

How to Answer:

Start by discussing the strategies you use to stay up-to-date on changing tax laws and regulations. Then, explain how you use this knowledge to review a company’s filings for potential issues. For example, you could mention that you look for discrepancies between reported income and expenses, compare current filings with those of prior years, or research industry norms to ensure compliance with applicable laws. Finally, emphasize your ability to identify potential areas of noncompliance before they become an issue.

Example: “I stay up-to-date on changes to tax laws and regulations by regularly reading publications and attending professional seminars. I use this knowledge to review a company’s filings for potential issues. I look for discrepancies between reported income and expenses, compare current filings with those of prior years, and research industry norms to ensure compliance with applicable laws. I also look for any deductions that might be excessive or non-compliant. My goal is to identify potential areas of noncompliance before they become an issue, so I can provide the company with the best advice and service possible.”

17. What steps do you take to ensure that all relevant information is included in a tax return?

This is an important question to gauge your attention to detail and organizational skills. It’s also a great way for the interviewer to see how you handle the pressure of meeting deadlines and staying on top of all the necessary information. You can also showcase your knowledge of current tax law and regulations, which is essential for any tax professional.

How to Answer:

Start by discussing your organizational skills and how you keep track of all the information needed to complete a return. Talk about any systems or processes that you have in place, such as using spreadsheets or other software to store data. Then, discuss the steps you take to ensure accuracy, such as double-checking for errors or verifying calculations with another professional. Finally, explain what research methods you use to stay up to date on tax law changes and regulations.

Example: “My organizational skills and attention to detail are essential when it comes to tax returns. I have a system in place that allows me to keep track of all the data I need to complete a return accurately and on time. I use a spreadsheet to store information, and I double-check all calculations and verify accuracy with a second set of eyes. I also stay up to date on relevant tax law changes and regulations by regularly reading publications from the IRS and other tax organizations, attending webinars and seminars, and networking with other tax professionals.”

18. How do you handle situations where a client disagrees with your advice regarding their taxes?

Tax professionals have to be able to take complex laws and regulations and break them down into understandable terms for their clients. In some cases, this may mean explaining why certain deductions and credits don’t apply or why a certain filing status isn’t available. This can be a tricky situation, as clients may not like the advice they’re getting and may disagree with it. It’s important for a tax professional to be able to handle these situations with empathy and understanding, while still standing firm on the advice they’re giving.

How to Answer:

Start by talking about how you approach these types of situations with understanding and empathy. Explain that you understand the client’s frustration, but also explain why it is important to follow the laws and regulations as they are set out. Talk about how you work to ensure that your clients have all the information they need to make informed decisions, and emphasize that you are there to help them in any way possible. Finally, talk about how you strive to maintain a positive relationship with your clients even when they disagree with your advice.

Example: “When a client disagrees with my advice regarding their taxes, I strive to remain understanding and empathetic. I understand that taxes can be complicated and confusing, and sometimes the advice I give isn’t what the client was hoping to hear. I make sure to provide them with all the information they need to make an informed decision, and I emphasize that I’m there to help them in any way I can. I also strive to maintain a positive relationship with my clients, even when they disagree with my advice. I believe that this approach helps to ensure that my clients have a positive experience working with me, and that they trust me to provide them with the best advice possible.”

19. What experience do you have with estate planning and trust administration?

Tax professionals must have a deep and thorough understanding of the tax code and regulations, as well as the ability to apply that knowledge to individuals, businesses, and other entities. Estate planning and trust administration are two areas of the tax code that require tax professionals to have a high level of expertise. The interviewer is trying to assess your understanding of these complex topics and your ability to apply them in a practical sense.

How to Answer:

To answer this question, provide a brief overview of your experience with estate planning and trust administration. Be sure to include details on the types of clients you’ve worked with, the issues you’ve handled, and any successes you’ve achieved. You should also mention any additional education or training that you have in these areas, such as courses or seminars. Finally, be prepared to discuss some of the challenges you’ve faced when working with estate planning and trust administration and how you overcame them.

Example: “I have extensive experience with estate planning and trust administration. I’ve been working in the tax field for over 10 years and I have a deep understanding of the federal and state tax codes. I’ve worked with individuals, businesses, and other entities to help them create estate plans and administer trusts. I’m comfortable dealing with complicated issues such as tax-efficient gifting, estate tax planning, and trust administration. I’m also up-to-date on all the latest tax regulations and I have attended several seminars on estate planning and trust administration. I’ve successfully helped clients navigate the complexities of estate planning and trust administration and I’m confident I can do the same for your clients.”

20. Describe a time when you successfully identified a tax savings opportunity for a client.

This question is designed to gauge your ability to identify and capitalize on potential tax savings. Tax professionals must be able to identify and explore the tax implications of a wide variety of transactions, investments, and other financial decisions. The interviewer wants to know that you can recognize and act on opportunities to save your clients money.

How to Answer:

When answering this question, you should provide a specific example of when you identified a tax savings opportunity for a client. Be sure to explain the situation in detail and how you were able to take advantage of it. If possible, share any relevant documents or financial statements that demonstrate the impact of the savings. Finally, emphasize the value that was provided to the client as a result of your efforts.

Example: “I recently helped a client save over $50,000 in taxes by identifying a tax credit that was available to them. I was able to review their financial statements and identify the potential credit, which was then confirmed by speaking with a tax attorney. I then worked with the client to ensure that all of the necessary paperwork was completed and filed in a timely manner. As a result, the client was able to realize a significant tax savings for the current tax year.”