The average American business will pay around $850 in tax penalties each year. One of the best ways to get out of paying those penalties is to avoid making mistakes in the first place.
The US tax code is often difficult to navigate, though. That’s where a tax accountant comes in. Having one of these professionals in your corner during tax season can help you avoid penalties and audits.
Finding the right accountant for tax, though, can be just as challenging as figuring out the tax code. These four tips can help you find not just a good accountant, but one that’s a great fit for your company.
1. Look for a Tax Accountant with Relevant Experience
The first tip for how to find a good accountant is to look for someone who has experience in your industry. If you’re running a healthcare business, you may be subject to special rules. A retail business may have different considerations.
Another thing to look for is experience in your situation. If you’re being audited, you want an accountant who has handled an audit before.
2. Ask for Referrals
If you’re looking for an accountant with experience in your industry, it’s a good idea to ask your peers and colleagues who they work with. Chances are one of them will give you a referral.
A referral from a trusted peer is invaluable. They’ve likely worked with this accountant already and can vouch for the quality of their work.
Talking to other people in your area and industry can also help you steer clear of people who may not be a good fit for your business.
3. Conduct an Interview and Ask the Right Questions
Even if you get a referral from someone you trust, it’s still a good idea to interview accountants before you hire them. An interview gives you a chance to evaluate the accountant and ask some questions. With this information in hand, you can decide if someone is the right fit for your business.
4. Make Sure They Can Represent You
You have plenty of choices when it comes to hiring a tax accountant, but only those with certain qualifications will truly have your back. An enrolled agent, a tax CPA, and a tax attorney can legally represent you in front of the IRS.
Other tax preparers can prepare your return, but they can’t represent you.
According to the experts at Silver Tax Group, audits are quite common. If you happen to be audited, you’ll want to be sure you have the best representation already on your side.
File Your Taxes the Right Way
If you’ve been thinking about hiring a tax accountant, these four tips should help you get started on the right path. There are many people out there who can help you with your taxes. Only a few of them will be truly great fits for your business.
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