You can implement arctan function by a CORDIC block operating in Vectoring mode. It's a pretty interesting segment of CORDIC. You just check this document, http://www.andraka.com/files/crdcsrvy.pdf. Once you are done with basics, go for efficient architecture design for the same, and finally write the Verilog/VHDL code for the same.
You might want to checkout kvcordic, my implementation of a multi-mode, universal, CORDIC. There is documentation, software implementation of the algorithm plus VHDL hardware description. You can download it from either: http://github.com/nkkav/kvcordic or http://opencores.org/project,kvcordic . The Github repository is always up-to-date. I use fixed-point arithmetic with a Q2.14 representation. Both the C and VHDL testbenches showcase function approximation as for sine, cosine, atan, sqrt, etc.