The Average Salary of Tax Analysts

by Shane Hall

Tax analysts include accountants and financial analysts who work in areas of tax compliance. They advise individuals and businesses about the tax advantages and disadvantages associated with different decisions and transactions, prepare tax returns, research tax issues and interpret new laws and regulations. Tax analysts' salaries depend greatly on their exact job duties, experience and places of employment.


The U.S. Bureau of Labor Statistics (BLS) does not classify a tax analyst as a separate occupational category, but it notes that accountants and auditors perform a wide range of services related to taxation matters. The bureau reported in 2009 that accountants and auditors earned an average annual salary of $67,430.

Tax Analyst Salaries

The Payscale website reported results for a salary survey of tax analysts in January 2011. The website reported that tax analysts earn from $43,465 to $63,402 a year. These figures include base salary, bonus pay and profit sharing. Payscale reported that tax analysts received bonuses ranging from $1,935 to $5,138 and profit-sharing payments ranging from $1,526 to $6,805. Payscale added that people with the job title of tax analyst generally fall into the broader occupational categories of accountant or tax examiner and collector.

Top Employers

Tax analysts work in a wide range of business and industrial sectors. Payscale reported that the most popular industries included accounting and tax service firms, software development companies, energy and utilities providers, financial services firms and entertainment companies. Energy and utilities had the highest salaries for tax analysts, with annual compensation averaging from $48,000 to $67,500. Salaries in software, financial services, and accounting and tax service firms ranged from $44,000 to more than $63,000 a year. The entertainment industry paid less, with salaries ranging from $41,865 to $60,795.

Salaries by Experience

Like most occupations, a tax analyst's salary rises with experience. Payscale reported that beginning analysts with less than one year of experience earned starting salaries of $39,000 to $51,000 a year. Experienced tax analysts earned higher salaries ranging from about $41,700 for an analyst with one to four years of experience to more than $70,000 for an analyst with more than five years on the job.

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