Tax Leaders Secure Their Positions as C-suite Advisors — BDO Report

August 11, 2025 at 08:00 AM EDT

BDO’s new survey reveals how tax executives have evolved into business strategists on policy changes, technological innovation, and rising business complexity

Survey Highlights:

Tax takes a seat center stage. To meet the needs of the dynamic policy and business environment, 90% of tax leaders say they are now invited to weigh in on decisions before they are made, and that their recommendations carry significant weight.
Energy tax credits, tariffs top policy concerns. Changes to tariffs and Inflation Reduction Act (IRA) clean energy subsidies rank as top challenges.
Innovation plans hit speed bumps. Although 67% of organizations plan to increase their investment in tax technologies, hurdles remain in implementation, data quality and management, and skills gaps.
Tax reimagines workforce models. Fifty-five percent plan to increase investment in recruiting, hiring, and retention, but outsourcing remains essential for navigating talent shortages and resource constraints.

As tax complexity dominates headlines and executives’ planning agendas, the 2025 BDO Tax Strategist Survey reveals that heads of tax are advising the C-suite in unprecedented numbers.

The survey found that a trend BDO identified years ago and termed the rise of the “Tax Strategist” has reached new heights. More tax leaders have firmly established themselves at the decision-making table than ever before.

Major U.S. tax policy changes and increasing business complexity are key causes of this shift. In addition, more tax leaders are being empowered with the appropriate resources, technology, and talent to take a holistic approach to tax strategy. Looking ahead, they must now also focus on cementing their positions as key advisors across the business.

“Tax is increasingly taking a seat center stage in decision making,” said Matthew Becker, National Managing Principal of Tax at BDO USA. “We are seeing more tax teams step up as key advisors to the C-suite, helping navigate policy change, shape strategy, and drive growth. This environment creates opportunities for tax leaders to help guide their organizations through uncertainty while demonstrating the full potential of the value they can deliver.”

Collaboration with CFOs is key to tax’s seat at the table

Tax executives are regularly asked to weigh in on strategic discussions across the business, from resilience strategy to transaction planning, operational risk management, supply chain management, and more. CFOs play a key role in tax’s influence, with 92% of tax leaders reporting that CFOs bring them to the table for important business strategy conversations, and 90% saying that their CFO helps facilitate cross-collaboration between tax and other functions.

Tax policy landscape presents multiple challenges

Organizations must navigate multiple fronts of policy changes simultaneously. Top challenges include changes to U.S. tariffs (41%), changes to IRA clean energy credits (36%), new accounting rules (34%), as well as rising global risks like increasing transfer pricing audit activity (32%).

Taking a proactive approach to tax risk management

Tax functions report compounding challenges from both internal and external factors, creating significant tax risks. Looking ahead, leaders expect their greatest sources of tax risk to come from rapid growth, whether organic or through acquisition (22%), followed by technology challenges (20%), and organizational transformation (17%). Fortunately, tax functions are taking strides to improve their ability to spot and mitigate risk. Fifty-two percent report that they leverage tax technology to help reduce the risk of human error and highlight data anomalies.

Building a portfolio of talent and technology

More than two-thirds (67%) of tax leaders say they will increase investment in tax technology in the next 12 months, signaling their commitment to digital transformation to meet evolving compliance requirements. Meanwhile, 58% plan to increase spending on initiatives like training and upskilling their teams, a critical component for successful technology rollout.

While artificial intelligence (AI) ranks highly among the tools tax teams deploy, less than half (44%) of organizations report using data management systems, which are essential for effectively leveraging AI tools and platforms.

To uncover more insights into the evolving role of the tax executive, download the 2025 BDO Tax Strategist Survey here.

About BDO USA

Our purpose is helping people thrive, every day. Together, we are focused on delivering exceptional and sustainable outcomes and value for our people, our clients and our communities. BDO is proud to be an ESOP company, reflecting a culture that puts people first. BDO professionals provide assurance, tax and advisory services for a diverse range of clients across the U.S. and in over 160 countries through our global organization.

BDO is the brand name for the BDO network and for each of the BDO Member Firms. BDO USA, P.C., a Virginia professional corporation, is the U.S. member of BDO International Limited, a UK company limited by guarantee, and forms part of the international BDO network of independent member firms. For more information, please visit: www.bdo.com.

About the Tax Strategist Survey

The 2025 BDO Tax Strategist Survey polled 300 senior tax leaders at companies with revenues ranging from $250 million to $3 billion in May 2025. The survey was conducted by Rabin Roberts Research, an independent market research firm. All respondents in this survey indicated they oversee and are heavily involved in the day-to-day tax operations at their organizations

View source version on businesswire.com: https://www.businesswire.com/news/home/20250811848927/en/

The 2025 BDO Tax Strategist Survey found that CFOs are fostering greater collaboration between the tax function and the broader organization. As a result, tax leaders’ influence is at an all-time high.

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Marisha Chinsky

The Bliss Group

mchinsky@theblissgrp.com

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Tax Leaders Secure Their Positions as C-suite Advisors — BDO Report

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