When tax season comes along, it is important to get someone trusted to handle tax matters. Tax preparation involves gathering a lot of secure personal information to hand over to someone else to go through. Since it is such a personal experience, a thorough search should be completed on hiring a Tax Preparation Professional Near Manhattan. What should a person look for when hiring someone to complete their taxes?
Do they have a Preparer Tax Identification Number (PTIN)?
This is a number given to people are often prepare other peoples taxes. If someone does not have this, they should not be preparing any tax document.
What is their experience in individual and joint tax returns?
This is an important question because some preparers are familiar with only business taxes or can only do certain forms. An individual person needs a different type of accountant, tax preparer, or CPA than a business since different forms will need to be filed.
Are they familiar with state tax laws?
All state laws are different. The tax preparer will need to be familiar with the state they reside in and are operating their business out of. It is also handy for them to be familiar with the tax laws in the surrounding states.
What documentation is needed?
Many people keep track of tax documents year round including any receipts, donations, and medical expenses that can be used when filing their tax return. There are also other things the tax preparer may need outside of this. This would include the persons W-2, 1099, 1098 documents from their employer along with any other documents showing the money they brought in.
What are their fees for preparation?
Tax preparers have different charges depending on the work they do and the amount of time it takes them to do it. Some preparers only charge by the forms they complete. A CPA who does tax preparation and gives advice year-round charges a good bit more for their services.
These 5 questions are only scratching the surface of things that should be asked. Another very important thing to think about is if they back their work up if the IRS decides to do an audit. Visit us to schedule an appointment with a Tax Preparation Professional Near Manhattan who can answer any additional questions you may have.