Tips for Correct Tax Preparation

The tax laws are constantly changing and the deductions easy to overlook and these are just some of the reasons why you need to hire a professional tax preparer. It is important that you hire a tax preparer carefully because it is your responsibility if you give to the IRS the wrong tax information. Since you will trust another person with your personal information, income as well as your social security number, you will need to go the extra mile to ensure that you have the right tax preparer. It is worth noting that tax preparers have no federal minimum competencies or educational requirements. This is why it is important that when looking for one that you ask some questions.

First, you must ask if they have a preparer tax identification number. Anyone who is in charge of preparation of federal returns should have the PTIN. You can go to the IRS directory just to confirm the PTIN that the tax preparer provides you with. The tax background that the tax preparer has is also of importance. You will find that some of them have letters following their business cards and you should know what the different letters mean. A CFP also known as a certified financial planner needs to meet some educational requirements before they are admitted by a board. A CPA standing for certified public accountant on the other hand is a public accountant and you must pass an exam for you to be one.

An EA meaning enrolled agent is a professional that has the privilege of representing tax payers to the IRS. It is the highest credential that the IRS recognizes because an EA is required to adhere to some ethical standards. You should find out what the tax preparer is among the different credentials to know if they are qualified to help you with your return. Get a Tax Prep Quote here. 

Returns are usually different and there are many variations when it comes to the filing. The different tax preparers will have much experience in some areas more than others and it is also common to find the ones that have a wide scope in the different fields. However, you should not trust the tax preparers that claim that they are capable of handling all kinds of returns. It is important that you hire a local tax preparer as they know the requirements of the states and localities which is vital in filing tax returns. Visit for further assistance. 

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