About 60% of taxpayers turn to
professional tax preparers for help in filing their federal and state income
tax returns each year.
While some attempt to use a “box” to
prepare their tax returns, it is important to understand that no software package, or online filing
service, is a substitute for knowledge of the Tax Code. And no
tax software package, or online filing service, is a substitute for a
competent, experienced tax professional.
Don’t listen to the ads that appear
at tax time and tell you that using a particular tax preparation software
package is “easy”. Let’s face it – taxes
ain’t easy. If they were there would not be close to a million professional
preparers out there. To say that using a
specific tax software package makes a complicated subject easy is nonsense!
As with any software program the
rule is "garbage in - garbage
out". If you don't know how to enter the information, or what
information to enter, you will not get the best, or even a correct, answer.
IRS statistics indicate that
taxpayers using do-it-yourself tax software spend an average of between 6 and
10+ hours longer preparing their tax returns (depending on the number of
worksheets and schedules) than taxpayers who do manual calculations. Further,
the IRS estimates that do-it-yourself software users spend an average of 10 to
over 20 hours longer on the return than if they used a paid tax preparer, again
depending on the returns’ complexity.
When the IRS comes after you for
errors on your tax return you can’t blame it on the software (unless you are a
government official). The US Tax Court has on several occasions rejected the
"Turbo-Tax Defense" when a taxpayer attempted to blame tax
preparation software for a negligent tax return.
You don’t save any time or get any
added guarantees of accuracy. Paying a competent tax professional to do
your return is ultimately much cheaper than taking a chance with a tax software
package or an online service!
If you need to find a qualified and
competent tax professional to prepare your 2015 tax returns you can begin your
search at my website FIND A TAX PROFESSIONAL.
The site includes many articles with
advice and information on choosing a tax pro, including –
ALPHABET SOUP - What do all the
initials mean?
DON'T ASSUME - A CPA is not
automatically a 1040 tax expert, and Henry and Richard Ain't Cheap!
CHOOSING A TAX PROFESSIONAL - What
to avoid.
WHAT TO ASK A PREPARER - Questions
to ask a potential tax preparer.
THE COST OF TAX PREPARATION - How
much will a tax preparer charge?
It also includes links to some
databases of tax professionals.
Once you have found a tax pro there
is information on –
WHAT TO GIVE YOUR TAX PROFESSIONAL -
Make sure you provide your tax pro with everything he/she needs to properly
prepare your return.
YOU ARE RESPONSIBLE! - Regardless of
who prepares your return you are responsible for everything on it.
WHEN TO CONTACT YOUR TAX PRO - Call
your tax pro if any of these events happen.
The site also contains details on
online and print tax planning and preparation resources.
So go to FIND A TAX PROFESSIONAL now
– and good luck with your search.
TTFN
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