How M&A activity is reshaping tax hiring needs

In the corporate landscape of 2025, mergers and acquisitions (M&A) are not just reshaping business models, they’re fundamentally altering the structure and demands of tax departments. As deal volumes rebound and complexity intensifies, tax hiring strategies are undergoing a transformation to meet the evolving needs of organizations navigating this high-stakes terrain.

The M&A surge and its tax implications

Following a subdued 2023, M&A activity surged in 2024 and is projected to accelerate further in H2 2025. This resurgence is driven by macroeconomic tailwinds, digital transformation, and strategic pivots in response to geopolitical and supply chain disruptions. As companies pursue growth through acquisitions, the tax function has become a critical player in deal structuring, due diligence, and post-deal integration.

Tax departments are now expected to provide real-time insights into deal viability, model tax outcomes under various scenarios, and ensure compliance with increasingly complex domestic and international regulations. This expanded role has created a pressing need for tax professionals with specialized M&A expertise, strategic thinking, and technological fluency.

Strategic tax planning: a core M&A competency

Tax considerations are no longer an afterthought in M&A transactions. They are central to strategic planning. Whether it’s evaluating the tax impact of asset versus stock acquisitions, navigating IRC §368 reorganizations, or managing carryforward losses and tax credits, the tax team’s input can make or break a deal.

As a result, companies are prioritizing the recruitment of tax professionals who can:

• Conduct rigorous tax due diligence
• Model transaction structures for optimal tax outcomes
• Advise on cross-border tax implications
• Integrate tax technology tools for scenario planning and compliance

This shift has led to a redefinition of tax hiring profiles, with increased demand for candidates who possess both technical tax knowledge and deal advisory experience.

The rise of transaction-ready tax teams

According to Deloitte, transaction readiness has become a strategic imperative for tax departments. Organizations are investing in building agile tax teams capable of responding swiftly to deal opportunities. This includes hiring for roles such as:

• M&A tax analysts focused on modeling and forecasting tax outcomes
• Tax due diligence specialists who identify risks and exposures
• Integration leads responsible for aligning tax processes post-merger
• International tax advisors navigating global tax regimes and treaties

These roles require a blend of accounting, legal, and financial acumen, along with proficiency in tax software and data analytics platforms.

Technology and talent: a dual transformation

The digitalization of tax functions is accelerating in tandem with M&A activity. Generative AI, predictive analytics, and cloud-based tax platforms are being deployed to streamline deal analysis and compliance. Consequently, tax hiring is increasingly focused on candidates with experience in:

• Tax automation tools such as Alteryx, ONESOURCE, and Vertex
• ERP systems integration like SAP and Oracle
• Data visualization and reporting tools including Power BI and Tableau

This tech-driven transformation is prompting companies to rethink their talent acquisition strategies, often blending traditional tax roles with data science and IT capabilities.

Challenges in tax recruitment

Despite the growing demand, sourcing qualified tax professionals remains a challenge. The niche nature of M&A tax expertise, coupled with competition from consulting firms and private equity, has created a talent bottleneck. Key challenges include:

• Limited talent pool with deep M&A tax experience
• Retention issues due to burnout and competitive offers
• Geographic constraints with specialized talent often concentrated in financial hubs

To address these issues, companies are adopting flexible hiring models, including remote roles, contract-based engagements, and partnerships with advisory firms.

Upskilling and internal mobility

In response to talent shortages, many organizations are investing in upskilling existing tax staff. Internal mobility programs are being used to transition corporate tax professionals into M&A-focused roles. Training initiatives include:

• Workshops on deal structuring and tax modeling
• Certifications in international tax and transfer pricing
• Cross-functional rotations with legal and finance teams

These efforts not only fill immediate hiring gaps but also build a resilient and future-ready tax workforce.

The role of external advisors

Given the complexity of modern M&A transactions, external tax advisors continue to play a vital role. Firms like PwC and Deloitte offer integrated M&A tax services, supporting clients with structuring, compliance, and post-deal optimization. However, reliance on external advisors also underscores the need for strong in-house tax leadership to manage relationships and ensure alignment with corporate strategy.

Looking ahead: tax hiring in a post-M&A world

As M&A activity continues to evolve, so too will the demands on tax departments. Future tax hiring will likely emphasize:

• Strategic foresight to anticipate tax policy changes and their impact on deals
• Global fluency in navigating multi-jurisdictional tax landscapes
• A collaborative mindset for working across legal, finance, and operations to drive value

Ultimately, the convergence of M&A growth and tax complexity is reshaping the very fabric of tax hiring. Organizations that proactively adapt their recruitment strategies and invest in talent development will be best positioned to thrive in this new era of dealmaking.