Are you hiring someone as a tax preparer to prepare your tax returns? Have you chosen the right tax preparer for the job? When choosing a tax preparer, it is recommended that you make your selection carefully as improperly prepared taxes can lead to legal proceedings and large fines and penalties.
Make your selection of a tax preparer easier by considering the following points before finalizing your decision:
Qualification of the Tax Preparer
New regulations set by the IRS require that all tax preparers must have a Preparer Tax Identification Number (PTIN). Additionally, it is also best if your chosen tax preparer works with a professional accountancy or tax-preparing firm. Furthermore, your tax preparer must have necessary educational qualifications to calculate your tax returns.
Tax Preparer’s History
You should not hire a tax preparer with a doubtful history. Check past records of local authorities, bar associations, and accountancy boards to determine that no disciplinary actions have been taken against your selected tax preparer.
In order to find the best tax preparer for yourself, you need to aware of the cost of their services. Rather than opting for a percentage-based payment, opt for a tax preparer who can provide you with exceptional services at flat rates.
Electronic Filing of Tax Returns
Many tax preparers nowadays use e-filing methods to file your tax returns. Electronic filing prevents wastage of paper, allows you store less paperwork in your home or office, and is extremely convenient. Thus, when choosing a tax preparer, determine whether they will provide you with e-filing services for your tax returns.
Tax preparers should be available to their clients even after filing the tax returns so that you can contact them at any point in time if questions arise with regard to your filed tax returns.
If you want the tax preparer to file accurate tax returns, then you need to provide them with all of the necessary documents related to your accounts and taxes. These documents include complete financial records of your accounts, as well as an organized collection of your receipts.
Signing the Return
Even after you have hired a tax preparer, you need to make sure that they have completely their work to perfection. As a rule, always review the finalized tax returns before signing and filing them. Additionally, never sign a blank tax form before the tax returns have been prepared.