Whether you like it or not, you are slowly reaching the time when you are bound to think about taxes. Even though the deadline is in April, you should not wait until the last moment. Therefore, the sooner you file your taxes, the sooner you will receive your refund. When it comes to taxes, you could either choose to do it yourself or hire an expert.
It is especially recommended to hire a professional for tax preparation in Little Elm, TX, when your tax situation is complicated. If you only had to report wages listed on a W-2, the job would be easier. However, if you were self-employed, that opens up a whole new world of deductions and regulations to obey. So, getting help is hugely recommended.
Red flags in a tax preparer
- They lack a preparer tax identification number.
Anyone who charges money to do your taxes must have a tax identification number or a PTIN, according to the IRS. If your tax preparer says they do not have one, that is the only red flag you need to fire them. When your tax preparer refuses to sign your return, it could mean that they are trying to make money by making false promises or they are hiding something.
- They put the refund in their bank account.
Your tax money is yours only, and you should receive your money in your bank account. If your tax preparer suggests putting their own bank details on the return form, there is something wrong. It is also a violation of rules and regulations set by the IRS.
- They are unable to provide you with an estimate of the cost.
The cost of hiring a tax professional can be expensive, but all the good ones have a transparent fee plan. This means that they give you an estimate of the service with no hidden costs. The cost may differ, but they should you give a certain budget.
- They encourage you to cheat.
If your tax preparer encourages you to cheat and is pretending to save you money, they are not really on your side. A good tax preparer should ask you to prove your deductions and review the receipts. Everyone yearns for a larger refund, but that is no excuse to risk your reputation and get convicted of tax fraud.
- They fail to provide a copy of your tax return.
Your tax preparer cannot submit your return without having it reviewed by you one last time. It is your right and responsibility to check your return as well as request a copy once it is submitted. In fact, legitimate professionals do not wait until you ask; they simply provide you with one.
