How are you going to do your taxes next season?
One of the most common questions people have about facing the grueling tax season is whether they should hire tax preparation services or just purchase tax software. Both options seem like practical, not to mention better, more efficient, and much less frustrating ways to do your taxes.
The first step to making the right choice is to know exactly what your options are.
Who are tax preparers?
Tax preparers are professionals who take care of everything related to your taxes – preparing, filing, doing the numbers. More than that, tax preparers can help you find ways to save on your taxes, avoid costly mistakes, and make sure that your tax deductions are on point to avoid getting audited. Should you get audited, they will actually help make sure that you can get through it quickly, easily, and with as little extra fees as possible.
The best types of tax preparers are Certified Public Accountants (CPAs). They are professionals who know not just how to do bookkeeping and tax preparation; they are also well-versed on the laws and policies concerning taxes, so they can advise you on your tax-related concerns.
A tax preparer’s work is based solely on the documents you provide him/her.
What is tax software?
Tax software is an automated program that allows you to compute and prepare your taxes for preparation. It allows you to input both figures as well as deductions, and offers descriptions/definitions for different ‘areas’ when inputting data. While not all tax software programs are programmed to have the same functions and features, most of them work in more or less a similar fashion.
Tax Preparation vs. Tax Software
- While tax software is pretty much accurate, none are as capable of detecting inaccuracies as an experienced CPA. Not to mention, CPA tax preparers can help give you advice on your deductions for possible savings.
- When you are hiring a tax preparer for yourself or your small business, the most you have to do is keep track of your documents and then submit them to your accountant. Easy-peasy and you are more productive and less frustrated. Tax software is only a little bit more convenient than manually doing your taxes because it is automated; you are still more vulnerable to audits or worse, to costly mistakes!
- While tax software is sold much more cheaply than the fees of a preparer, having your own accountant take care of your tax filing needs generally proves to be more cost-efficient in the long run. With fewer mistakes, better deductions, and faster filing time, you are bound to save more on the hourly fees of your accountant than all the weekends you lose to using software. Not to mention, you get to use the time you spent on filing for other, more productive activities.
Getting tax software may give you the feeling of being in complete control, and that your most important and personal financial documents are safe in your hands; however, having someone you can rely on for your most crucial tax needs is something you can never get from a computer program.
To make sure that your taxes are in the right hands, go to the San Diego tax preparation service company that has all the expertise, the experience, and the friendly and trustworthy professionals that will ensure a quick, hassle-free tax season for you. Go to Class-Advisors! Call 619-282-7126 for a FREE consultation.