This post is about the importance of a CFO building a close relationship with their in-house Head of Tax. When a corporate Head of Tax is reporting directly to the CFO, the company has valuable profit advantages. A strong working relationship between the two executives creates the greatest profit for the company through tax savings strategies and implementation of them. I have been educated about the proof many times over the years as these two executives work together to build an in-house profit center for the corporation. CFOs who have great respect for their Head of Tax, and include them in all business transactions, yield extraordinary tax savings resulting in increased company profitability. This close relationship is always a win for investors because the extra profit ensures there is more money brought back to the company to grow the business. CFOs who have the Head of Tax reporting directly to them have an advantage over the CFOs who do not have the Head of Tax reporting directly to them.

As an internationally recognized expert in tax executive search, and a track record with more than one thousand successful tax executive searches completed over thirty-three years, we are fortunate to learn these success stories from the multinational organizations we serve. We learn what happens behind the scenes when the CFO and the Head of Tax work closely together. The result of a strong partnership increases profits that would otherwise be millions (billions) of tax dollars lost to international, federal, state and local tax revenue authorities. The reporting relationship is important because it demonstrates the level of interest and respect a CFO has for their tax leader in working  together to increase profitability.

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