Regardless of the size of the business, tax preparation is complicated and time-consuming. The book, The Small Business Start-up Kit: A Step-by-step Legal Guide,says “Considering the importance of competent tax preparation, you should accept early on that this is an unavoidable cost of running any business.” But more than just being unavoidable, hiring a professional accountant can be a rewarding experience. Here are four reasons to consider hiring a professional accountant this year.
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A Professional Accountant Can Save Your Business Money.
Rather than thinking of an accountant as just another expense, consider the fact that companies who hire tax professionals generally pay less in taxes than those who go it alone. Professional tax accountants know the tax code inside and out, and will be able to find the maximum number of allowable deductions and tax credits.
Professional Tax Preparation Is Deductible.
YES!The cost of hiring a professional accountant is considered a deductible business expense by the IRS. So, not only will a tax professional find you more deductions, you actually get an extra deduction just by hiring them!
You Gain a New Resource for Tax Questions.
Having a good relationship with your accountant means always having someone to turn to with tax questions. Going over the tax code is more likely to put you to sleep than answer your question. Instead, let a professional accountant translate that dry legalese into understandable English and get a clear answer, faster.
An Accountant is Back-Up in Case of Audits.
According to its most recent data book, the IRS audits around 12% of all large corporation tax returns. For a small business, the rate drops but is still over 1%. Having a professional help with your business tax preparation will ensure that you have support to deal with audits or other tax problems if they ever arise.
A Caution Against Unregulated Tax Preparers.
The benefits of hiring a tax preparer are evident, but there is a note of caution here. Only CPA’s (CertifiedPublic Accountants), attorneys, and IRS enrolled agents are subject to regulation. Most states don’t regulate ‘tax return preparers’, making it harder to confirm the qualifications of these uncertified businesses. The safest bet for business tax preparation is to hire either a CPA, attorney or enrolled agent. And even with these three groups, be picky when selecting someone.
A good accountant is not just insightful, 
but is approachable and listens well -ask business associates for recommendations. When you meet with a potential accountant, ask a lot of questions about their background and experience. When you find a professional accountant who is both knowledgeable and trustworthy, you will be able to develop a long-term working relationship that saves both time and money.
Maxine Taylor owns The Balance Sheet, a full-service accounting and bookkeeping company in West Palm Beach, FL. Maxine is an enrolled agent with the IRS and prides herself on developing long-term relationships with her clients. Visit The Balance Sheet’s blog at Tax Accounting Bookkeeping to find more applicable tax and finance information from accounting experts.
