Most businesses globally feel the tax is hectic, especially when the tax return filing date is near.
Setting up a business is complicated, and when it gets wings to fly high, tax stress comes through your office door.
If you are only a good entrepreneur and not a tax expert, you must start looking for a tax accountant. They can understand your tax requirements better and help you meet them successfully.
But how to find the right expert? Let’s find out the ways of hiring them from this guide.
Table of contents
- Who is a tax accountant?
- Where to find the right tax accountant?
- How to select the best tax accountant for your organization?
- Conclusion
Who is a tax accountant?
Taxes get confusing and overwhelming for most businesses, especially while filing taxes or dealing with tax debts.
It is when companies look for a tax accountant who has experience and expertise in handling corporate taxes. They not only help you in preparing tax returns but also offer necessary advice.
These individuals have the skills to reduce your tax bills legally by considering all the grants and tax deductions thoroughly.
Tax accountants are different from tax preparers, who are mostly focused on preparing your taxes. They help in filling and filing tax returns on your behalf.
On the other hand, a certified tax accountant can help you deal with situations like an audit or tax debt.
Where to find the right tax accountant?
Finding the right person for tax accounting can be challenging for businesses and individuals.
So, asking your friends, business associates, and other people in your network is wise.
Additionally, you can ask for referrals from financial advisors and attorneys who usually have good connections with top professionals.
Otherwise, you can search for a top tax accountant near me online. During this process, you must research the professionals thoroughly, including their credentials, experience, and reputation with past clients.
To better understand their work quality, you can review client testimonials on their website or ask their past clients.
How to select the best tax accountant for your organization?
Once you have gathered some references, your next task is to arrange face-to-face interviews and ask questions. This process includes verification of multiple areas of an accountant before concluding.
1. Determine the tax accountant’s legitimacy
The first thing to consider while hiring an accountant for a corporate or personal tax account is to verify their qualifications and certifications.
If an accountant holds CPA (Certified Public Accountants) certification, they are credentialed and have a license to perform tax activities. Make sure they have a unique PTIN (Preparer Tax Identification Number) that is valid and authentic.
Usually, these professionals have several years of training and a deeper understanding of tax codes. However, you can ask for their experience in your domain for better tax solutions.
2. Check their specialization
You must check the specialization of an accountant for taxes as they vary from being an enrolled agent or CPA tax accountant to tax attorneys. EAs (enrolled agents) are the highest credential a professional can receive from the IRS and specialize in particular tax areas.
On the other hand, CPAs with specialization in tax accounting can only help you with tax.
Finally, attorneys are lawyers with experience in tax laws and deal with complex legal matters. They have the potential to help you with tax-related cases in the U.S. Tax Court.
3. Ask about their services
Before looking for a tax expert, ensure you have determined all your requirements. This will help you choose people offering similar tax accounting services in your budget.
Numerous tax accountants are eligible to fulfill your daily accounting and bookkeeping needs.
However, some accountants only focus on complex tax issues and include advisory services to prevent costly mistakes.
Therefore, you must hire a tax accountant only when your requirements match their services.
4. Clarify all your questions
When hiring a small business tax accountant, you must ask them questions. Interviewing people gives you an opportunity to know each other and identify if they are a perfect fit for your business. Some of these questions include:
- What role will they play in your organization?
- How much experience do they have in delivering the results you’re looking for?
- What will the professional do for you throughout the year?
- What level of responsibility can they take for your tax return?
- How do they keep your data secure?
- Do they file returns electronically?
- How often and in what ways do they communicate with clients?
- How many returns do they complete in a year?
5. Compare fees
Though selecting a tax professional doesn’t depend on price alone, staying within a budget is necessary for business.
Some accountants may charge you hourly, while others charge a fixed fee for their services.
You must ask every accountant you interview for a quotation against the services they provide to compare them later and make a decision.
6. Look out for red flags
One of the most essential parts of choosing a small business tax accountant is to look out for red flags.
Usually, an unethical tax accountant promises unreal tax deductions and has a temporary office or a missing website.
Some of these fraud tax specialists will charge you a fee depending on your refund, which violates their professional ethics.
Conclusion
In conclusion, we can say you must take the time to hire a reputable tax accountant and review their work carefully.
You should ask as many questions as needed to ensure they are credentialed and licensed to conduct tax activities in your business.
Finally, make sure you look out for red flags and read out past client experiences with the accountant before deciding.
