No one particularly enjoys tax time—so much paperwork, number crunching, and sifting through files for receipts. Is there any way of simplifying the process?
Yes—work with a tax preparation company. These businesses consist of talented accountants who can help you file your tax accurately and quickly.
However, not all accountants are equal, so how can you find the right company for your needs? To learn more, keep reading to find seven important factors to consider when hiring tax preparers.
1. Experience
Tax preparation experience is one of the biggest things to look for when hiring a company. Tax is incredibly complex, especially if your situation involves self-employment or you own a small business.
Look for a local tax company that specializes in your industry, as they can help you get your taxes done without any errors.
Experience isn’t only good for dotting your i’s and crossing your t’s on the filing papers–experience can also help you save money.
If you find a skilled tax preparation company, they’ll thoroughly review your details and can let you know what deductions you qualify for. When filing taxes on your own, it’s easy to miss common deductions, which means you’re paying more tax than you need to.
2. Customer Service
Another big consideration is customer service. You’ll want to find a tax person who takes the time to get to know you and genuinely wants to help you—not someone who just sees you as a number.
Customer service is more than just friendliness though. Check that the tax prep company is easily accessible—what are their opening hours, can you make a weekend appointment, and who can you call if you have any questions?
Find a company that you feel comfortable working with and that will fit within your schedule.
3. Cost
When hiring tax preparers, what’s your budget? Think about how much you can afford to spend when hiring an accountant.
Generally, the more complex your taxes, the more you’ll pay. A simple, individual return takes less time than sorting out taxes for a business, so keep that in mind.
However, the cost of paying for a tax prep service can save you money in the long run. A skilled accountant knows how to reduce taxes owed, so you’ll end up paying less than if you filed on your own.
Plus, the cost of your accountant fees are often tax-deductible when you file taxes next year.
4. Audit Assistance
No one wants to end up in a position where they’re audited by the IRS, but it can happen to anyone. Usually, this is due to a minor issue, so it’s probably nothing to worry about.
If you do find yourself in that position, can your tax preparation company help you? It helps to hire a company that offers audit assistance, so that they’ll be there to help you in case of an IRS audit.
Most companies do offer this to all customers, but it never hurts to ask before hiring. If they do offer this service, check if it’s included in the cost you’ve already paid for tax filing.
5. Bookkeeping Help
Do you need year-round assistance with your business finances, or just the once a year tax filing? Some tax companies can also help with setting up your bookkeeping.
This can be a big assistance if you’re starting a new business and need help with systems like invoices, financial software, and payroll.
While this is always going to be an additional cost, it can be useful to work with the same company for both bookkeeping and tax filing.
6. Reputation
References and reviews matter when hiring a tax company. Does your potential company have a good reputation?
Reading online reviews is one of the best ways to find out. Look for unbiased websites like Google reviews or Yelp, as they provide honest comments and reviews from previous customers.
While no company has perfect reviews, this can help you see the bigger picture and work out if a company is reliable and trustworthy or not.
You can also learn more about a company’s reputation by asking friends and family. Do they have a local company they can recommend?
Often, personal recommendations can be very helpful when looking for local businesses.
7. Do You Need Online or In-Person Support?
Tax preparation companies operate in two ways—online or in-person. Which type of support do you need?
If you’re more confident in the tax process, you might be happy to do everything over email. However, if you have a lot of questions and would prefer in-person support, then look for a company where you can schedule an in-person appointment.
Online support may sometimes be cheaper, but it depends on your needs and circumstances.
Find the Right Tax Preparation Company With These Tips
Finding the right tax preparation company can make a huge difference in how much tax you pay, so it’s worth getting it right!
Use the tips above to find the right tax company for your needs. Then, give these CPA accountants a call and make an appointment to get started.
They’ll let you know what you need to bring to your appointment, but this will generally include all of your earning statements, deductions, and your tax paperwork from the previous year. Once you find the right tax company, you can enjoy the convenience of working with them year after year.
Was this article on finding the right tax preparation company to be helpful? If so, please read on for more information and advice on business taxes, the IRS, and financial management. Visit the Finance section of the Bootstrap Business Blog to learn more about accounting and bookkeeping.
