Cross Border Tax Accountants & Consultants: What They Do and When You Need One

Most internationally active individuals and businesses need both at different stages.

When You Need a Cross Border Tax Accountant

You should engage a cross border tax accountant when you:

• have income in more than one country
• are required to file tax returns in multiple jurisdictions
• have become tax resident in a new country
• have dual tax residence and need treaty tie‑breaker analysis
• receive equity compensation while working internationally
• have foreign rental income or investments
• need to reconcile multi‑country payroll or shadow payroll
• must report foreign assets or bank accounts

If you’re dealing with international payroll exposure, our guide on shadow payroll is a useful starting point.

When You Need a Cross Border Tax Consultant

You should engage a cross border tax consultant when you:

• are planning a move abroad
• are considering remote work from another country
• are sending employees on short‑term or long‑term assignments
• want to avoid creating a permanent establishment (PE)
• are expanding your business internationally
• need to understand the tax impact of cross‑border investments
• want to design or update global mobility policies
• need to model tax outcomes before making decisions

For remote work scenarios, see our guide on cross‑border remote work risks.

Common Problems Cross Border Tax Professionals Solve

1. Tax residence conflicts

Becoming resident in two countries at once — or unintentionally triggering tax residence — is one of the most common issues.

Each country has its own domestic rules for tax residence (see: Singapore IRAS – Tax Residency as an example) and when two countries both claim tax residence according to their domestic rules, an international tax adviser can apply international treaties and tie-breaker rules to determine which country has taxation rights over a taxpayer.   

2. Double taxation

Without proper planning, the same income can be taxed twice. This is not that uncommon in itself.

However, an experienced international tax professional can assist you with making the necessary Foreign Tax Credits (FTC) to ensure, in the end, once everything washes through the two countries tax returns, any actual double taxation is reduced to zero or to as little as possible.

3. Multi‑country payroll failures

Incorrect withholdings, missing shadow payroll, or untracked workdays can create significant employer risks.

A qualified cross border accountant will be able to guide you through the countries that require a (shadow) payroll and those where the taxes due can be settled simply by filing a host country tax return.

Similarly, a qualified cross border consultant will be able to clear any confusion you might have in assessing the social security obligations of internationally mobile employees who work in more than one EU Member State and outside of the EU – also known as multi-state workers.

4. Permanent establishment (PE) exposure

Employees working abroad — even temporarily — can create corporate tax obligations.

This is an issue well covered already in our article which talks about the PE risks in short-term assignment scenarios.

A cross border tax and accounting firm ought to be able to advice you in terms of where you stand for your particular scenario, in relation to those PE risks so you can make an informative decision before the tax authorities make that decision for you.
Incorrect foreign asset reporting

Many countries impose strict penalties for failing to report overseas income, accounts or investments.

This is sometimes true even when no actual taxes are due i.e. there is still a reporting obligation (i.e. FBAR in the US or Quadro RW in Italy).

In the majority of cases however, upon become tax resident in that country, you are taxed there on your worldwide income, even if your home country already taxes you on your worldwide income under the territoriality principle or under hybrid between a territorial and a worldwide system.

Enlisting the help of a cross border tax preparer will ensure:

• You report the correct foreign income and assets
• Pay the correct taxes due on them across multiple jurisdictions
• Minimise your tax exposure by claiming all available reliefs

6. Poorly structured international assignments

Assignment letters, tax equalisation, and social security coordination often fail without an internation tax expert input as discussed in our article on how assignment letters create tax risks without anyone even realising it.

An international tax specialist will have seen and dealt with hundreds of assignment letters, tax equalisation policies and social security coordination and this is precisely where their value-add is: they can ensure a level of cross border tax compliance which can only come from years of experience.

How to Choose the Right Cross Border Tax Professional

1. Identify whether you need compliance or planning

If you need filings, calculations, or residency determinations → Cross Border Tax Accountant.

If you need structuring, planning, or risk mitigation → Cross Border Tax Consultant.

2. Look for multi‑jurisdiction expertise

They should understand the countries relevant to your situation — not just one.

3. Check their experience with your profile

For example:

• expats
• business travellers
• remote workers
• executives
• entrepreneurs
• investors
• globally mobile employees
• High Net Worth Individuals (HNWI)

4. Ensure they understand both tax and social security

Cross‑border cases often involve both systems.

Extra bonus if they also have a good grasp of immigration nuances.

5. Have a word with them and see what you think

Most reputable international tax advisers and accounting firms offer a free ½ consultation at least.

You should definitely take them up on this offer and see which ones best fits your budget, scope, responsiveness level and seems to really know what they are talking about.

Extra tip: quite often the front person you will be talking to in the initial ½ hour free consultation is a salesperson and not a cross border tax accountant or cross border tax consultant.

Ask if you can have a qualified international tax specialist on the call and then once you get the opportunity to talk with that cross border tax expert, ask if they will be personally working on your tax affairs OR if your tax matters will be handled further down the chain by someone fairly junior in their organisation.

Final Thoughts On Choosing The Right Cross Border Tax Accountant or Consultant

Cross border tax accountants and cross border tax consultants play different — but equally important — roles in managing international tax complexities.

If you:

• live or work or have assets in more than one country
• employ people internationally
• invest across borders
• run a global business

…you will almost certainly need both at different stages.

Understanding the distinction helps you choose the right professional at the right time — and avoid costly mistakes in the process.

Pro tip: consider whether you may want to engage them separately so that effectively the cross border tax consultant will be auditing for you the compliance work of the cross border tax accountant.

This is probably the best way to ensure no stone has been left unturned so you can concentrate on growing your business and wealth while leaving your tax affairs in safe, but independent from each other, hands.

This is how smart businesses and individuals deals with their tax affairs in the most efficient way possible.

P.S. If you would like to discuss this further, go through the risk assessment / personalised report below so we can start building a picture about your tax affairs and you in turn can make the most of the free ½ hour conversation with us.