What are the functions of a tax advisor?

The tax advisor's sole function is not to ensure that his client has the lowest possible tax burden, since paying less is not always a positive indicator. In short, the function of a tax advisor is to optimize the tax situation of his client always complying with the current regulations and, therefore, avoiding problems with the Treasury.

A veces, contratar los servicios de un asesor o asesoría fiscal low cost puede no ser la mejor idea si esta ofrece asesoramiento de baja calidad. Al tratarse de temas tan delicados, se precisa de un experto del sector que pueda acompañarle en todo momento y asesorarle sobre qué decisiones son las mejores para usted y su negocio a corto, medio y largo plazo. Visite nuestra página de Asesoría Fiscal para que nuestro equipo de expertos pueda ayudarle.

Institutions are becoming more and more restrictive in complying with the tax legislation in force in the country. For this reason, we always recommend the choice of an advisor who always complies with the Law, having as first objective the client's welfare. The good tax advisor will be the one who manages to optimize the tax burden and complies with the current legal framework, thus avoiding any type of risk it may cause.

1. Advice on the choice of the legal form that best suits your project (limited liability company, public limited company, ...) in order to optimize tax obligations and burdens.
2. Registration, deregistration and possible future modifications in relation to the client's economic activity with the tax of the client in the Tax Agency. This change is presented by means of Form 036 or 037.
3. Tax advice and planning within the framework of current tax regulations and in defense of the taxpayer's interests.
4. Communicate to the client, provide information, assistance and representation to their clients in their relations with the Tax Administration in order to assert the taxpayer's rights in tax management and inspection procedures.
5. Timely and accurate completion of all tax assessments.
6. In order to apply a tax optimization methodology, the tax advisor must advise on local taxes and taxes assigned to the autonomous communities.
7. Advice in relation to the taxable event of customs duties and taxes levied on foreign trade operations.
8. Respond to all communications from the Tax Agency within the established deadlines and in the appropriate within the established deadlines and in the appropriate manner.
9. In order to correctly file all declarations, collect all necessary information from the client in physical or digital format.
10. Preparation of periodic tax assessments in due time and form. Your advisor must file both direct and indirect taxes.

According to the General Tax Law (in article 42.1A) details that a tax advisor may be jointly and severally liable for the tax debt as long as they cause or actively collaborate in the commission of a tax infringement. In addition, according to article 1.101 of the Civil Code, tax advisors are liable to their clients for damages caused by fraud, negligence or default.

Article 1101: "Those who in the performance of their obligations incur in willful misconduct, negligence or default, and those who in any way contravene the tenor of those obligations, shall be subject to compensation for damages caused".

From mid-May 2021 all advisors have the responsibility to report their clients who are trying to take money out of Spain to a foreign country as long as they have made available to their clients cross-border mechanisms subject to the reporting obligation.

In any case, the Tax Authorities will first sanction against the taxpayer, so it is advisable to make sure that you are in good hands in matters related to tax advice to avoid having problems with the Tax Agency.

At Confialia we are aware of the importance of having a good tax advisor to accompany you on your business journey. Therefore, we always assure all our clients that each of our services will be delivered with the highest levels of quality and always in a timely manner. If you need to know more information do not hesitate to visit our Tax Advisor page.