Tips for Finding A Legitimate and Qualified Tax Preparer

A huge population relies on tax advisors to file their tax returns every year. However, if you are looking for one, it may be a little difficult to make a selection in the market. Although they are many in numbers and running their business in almost all corners of the city, it is always important to choose a legitimate and qualified tax preparer to meet your needs.

Stats reveal that almost 80% of people do not ask for proper credentials while hiring their tax preparer. 75% don’t even know if their preparer can represent their side during tax audits or not. That’s really bad. When you hire a tax preparer; it means you will be sharing some important details about your life with him; it includes your income, your marriage, bank accounts, family details, and the social security number as well. In such a situation, it is important to find a legitimate and qualified professional to meet your needs.

Below we have highlighted a few tips to help you find a reliable tax preparer in the city:

Ask for their PTIN number:

Anyone who prepares or assists others in preparing federal tax returns needs to have a PTIN number. Here PTIN stands for Preparer Tax Identification Number, and it must be printed on your tax return. IRS requires this number for verification.

Must have proper designation:

It is not that easy to get PTIN number; one needs to make some special efforts to get these credentials ready. As per government policies, this number is issued to few qualified professionals only; the person can be a certified public accountant, enrolled agent, licensed attorney or the one who has completed annual filling season program of IRS. The Accredited Tax Preparers and Accredited Business Accountants can have this designation.

Compare the fee:

While hiring a tax preparer, it is always important to ask about charges in advance. The fee is generally fixed as per the schedules, and it is decided by the National Society of Accountants. In general, the estimated cost of state return and Form 1040 without itemized deductions can reach up to $188 only. You may also find some tax preparers in the market that charge percentage-based amount for preparing tax returns; they are not reliable. Make sure you hire someone who follows standard rules and procedures for charging a service fee.

They will support you during audits:

If you are looking for the tax preparers in the market, it is important to search a credible service provider that stands beside during tax audits. The attorneys, CPAs, and enrolled agents with valid PTIN numbers are more likely to support you during IRS audits and will handle all collection, payment, and appeal related issues. Preparers that work as per Annual Filling Season Program can support you in some restricted cases. Hence, it is important to make a careful decision while hiring your Accounting Firm CPA. They must serve your needs with reliable and professional procedures.