The Effects of Tax Reform on Labor Demand Within Tax Departments

This study examines the effect of major tax reform on firms’ demand for internal tax department employees. Specifically, researchers analyze the effects of the Tax Cuts and Jobs Act (TCJA) on the number of job postings and skill profiles for tax department positions in large U.S. firms. Understanding how tax reform affects the demand for tax employees is important for quantifying potential compliance costs and assessing how firms adjust their tax planning capacity in response to new regulations.