nowadays, despite more and more people prefer to use the tax software to file their tax return, i think the a professional and sophisticated tax accountant is still needed to file those more complcated tax returns. right?
2007-01-01 19:42:34 · 7 answers · asked by di_cassano 4 in Business & Finance ➔ Taxes ➔ Other - Taxes
I would think that most people can do a decent job of preparing their own return. They don't have much more than a w-2 and some 1099's and maybe a house that allows them to itemize deductions.
However when you get more complicated it is not what is on the form or understanding where a number goes. It becomes more of a decision of where among the two or three places a number can is best for you. It is a matter of looking at what you are doing and recommending a different course that will save you taxes. It is a matter of how your investments, business entities etc. fit into your tax financial planning and estate planning arrangements. Life is too complicated to know everything yourself and it is generally best to allow an expert handle what they do best so that you can concentrate more effort on what you do best.
2007-01-01 22:47:47 · answer #1 · answered by waggy_33 6 · 1⤊ 0⤋
It depends on what kind of return they need to file.
Here is one option for those earning $40,000 or less:
You can, but you shouldn't. The estimated refund could be wrong and then you will have to fix it. You won't be able to e-file and it won't be saving you any time. If you get a refund anticipation loan for the estimated amount and it is wrong, you may end up paying more in the long run.
Make sure that you get the full benefit of your refund by staying far away from H & R Block or one of those other commercial places. The IRS has a program called VITA that does free tax preparation for households earning $40,000 or less. They can make sure that you get all your eligible credits, such as the Earned Income Tax Credit, the Child Tax Credit, the Dependent Care Credit, etc.
This is an absolutely FREE service. They can e-file and do direct deposit so that you can get your return back in 7-10 days. There is no need to get a refund anticipation loan, which is really nothing more than a high interest loan where you would be paying to borrow your own money. You have worked hard for your money and you should be able to keep it! To find a VITA free tax site near you, call the IRS at: 1-800-829-1040.
2007-01-05 23:32:15 · answer #2 · answered by rachkw81 2 · 0⤊ 0⤋
I think so. Software doesn't always catch the things a good accountant can. It is ironic though that a lot of good accountants depend on the same software that you can buy. It's the knowledge and skills that count as well as the ability. A software program can ask "how much did you donate to charity this year?" but an accountant can remind you that donations can be more than just cash, and charities are more than just churches and Goodwill.
2007-01-02 03:47:58 · answer #3 · answered by ? 3 · 0⤊ 0⤋
not really! You can do it yourself if you understand what is being asked, practice makes perfect.
Usually by paper (I am sure you can grab an older financial year 2005/2006 from your local newsagent). Read the parts and use the internet of your goverment website regarding tax if you are not sure. The extra notes attempts to explain the sections you need to work on.
Take your time to understand your bit and FEEDBACK with another possible another tax expert or someone with either ecomonics or maths than yourself to verify what you worked out is sound ready for the next time.
This is what I did and PROUD to did it to save paying my tax agent about $240 AUD each year.
2007-01-02 03:54:23 · answer #4 · answered by Psionic2006 3 · 0⤊ 0⤋
Even for people whose return is simple, many just aren't comfortable doing it themselves. With elderly people especially, many aren't into computers, and least not to the extent of buying and installing something like TurboTax and doing their return. I do taxes through the IRS/AARP TCE program (similar to VITA) and see many such people each year. Our services are free. Many clients tell us they formerly paid around $100 to preparers like H&R Block.
2007-01-02 09:52:11 · answer #5 · answered by Judy 7 · 0⤊ 0⤋
Do it yourself, it saves paying $100 plus per hour to someone to sit on their butt and screw you out of your hard earned money!
If you screw it up Uncle Sam will be nice and give you a 2nd try
2007-01-02 03:49:56 · answer #6 · answered by froggy010101 4 · 0⤊ 1⤋
Many people do not feel comfortable to do it themselves. You have to decide what is best for you.
2007-01-02 03:44:54 · answer #7 · answered by ice t 2 · 1⤊ 0⤋