Tax law

Almost all commercial transactions have tax implications. Tax lawyers advise on the most tax efficient means of structuring matters as well as dealing with HM Revenue & Customs. They may also get involved in litigation on occasion.

Graduate careers in tax law

Tax is generally a service function to a firm's other practice areas, so tax lawyers may advise on corporate sales and acquisitions, restructurings, property transactions, finance transactions, investment fund matters and anything else with a tax aspect. Clients are extremely varied and can include companies of all shapes and sizes, investment funds, individuals and charities – potentially, any organisation or individual paying tax. Tax lawyers can act for either side; for example, they may act for either the buyer or the seller on corporate or property deals. They may also act for the client on a non-contentious matter or in connection with a dispute with HM Revenue & Customs.

Tax lawyers are likely to get involved right at the beginning of a transaction so that they can advise on how to make it as tax efficient as possible. They will probably be mainly office based although they will attend meetings with clients from time to time and may on occasion need to travel. Increasingly there is an international aspect to the work as clients may be based overseas but be paying tax in the UK on property or commercial activity, for example.

Typical working hours are likely to be 8.30 am to 7.00 pm although they may be longer in the run-up to a deadline. In general there tend to be fewer late nights and weekend stints working in tax than there are in other areas such as corporate/commercial and banking. Tax lawyers can also get involved in client networking and business development activities: clients may return for repeat business but there is always a need for tax advice and therefore potential new clients to be won.

Lawyers working in this field need to keep up to date with constantly changing legislation, which can make it challenging. At the same time, they will need a high degree of commercial awareness and common sense in order to understand clients' needs and aspirations. The area is quite buoyant, although when corporate and property markets are quiet this can affect the level of transactions and thus the need for tax advice.

Is tax law recession-proof?

The recession has inevitably led to a slowdown in traditional corporate and finance transactions on which tax lawyers provide advice. There has been an increase in company and fund reorganisations and restructurings, and debt for equity swaps, however, all of which require careful consideration from a tax perspective.

What skills does a tax law solicitor need to do the job?

• The ability to absorb detailed factual information and break it down to its core.
• Drafting and negotiation skills.
• Research and analysis skills.

What is it like doing a trainee solicitor's job in tax law?

Trainees tend to work from 9.00 am to 6.00 pm. They are unlikely to be able to work on their own files because of the complexity of tax law. However, trainees can support more senior lawyers by researching tax issues, writing notes and letters for clients and colleagues, assisting with warranties and disclosures of information on corporate and property deals, and dealing with HM Revenue & Customs. A seat in tax will keep you on your toes: as well as learning about ever-changing tax law you will gain detailed knowledge of other practice areas because of your work with other departments.

Types of law practised

• Contract.
• Corporate.
• Land.
• Tax (including corporate tax, capital gains tax and VAT).
• Trusts.

About the author

DAVID GUBBAY is a partner in the international and domestic tax group at DECHERT LLP. He graduated from Rhodes University with degrees in law and history and from Magdalen College, Oxford, with a degree in law.