Bookkeeping services are the basis for financial statements. Keeping good books is essential to accurate record-keeping, ensuring compliance with laws and regulations and identifying errors, overpayments and missed payments. Some business owners feel comfortable maintaining their own records and engaging a tax professional to prepare their multitude of tax returns and reports. If finance and accounting are not your areas of experience, you may want to consider a professional bookkeeping service to ensure that your records are sound and accurate.
Most people must file a 1040 (or version) for each calendar year by April 15th of the following year or, with a proper extension, no later than October 15th of the following year. The different aspects of a person’s or a family’s income vary as much as the people themselves. There are a seemingly infinite number of forms that could apply to a tax situation. Many people have less-complex returns that can be done fairly easily by a person with some financial sense. The availability of “do it yourself” tax preparation programs like Turbo Tax have encouraged many people to avoid paying a professional to do the job. The benefit is a lower cost to the taxpayer. To decide whether to employ a professional or not, each taxpayer must weigh several factors.
Will I be able to prepare a correct tax return?
How long will it take me? Is it worth the time and effort?
Some factors that some do-it-yourselfers may not be considering are whether they are getting the most tax benefit or whether they are taking benefits which they are not entitled to. A tax audit or re-assessment can be costly when penalties and interest are involved. You also may be losing the benefit of future tax planning advice that could improve your future returns. It is your decision after all, but consider that the average tax return preparation fee runs from about $75 to $175 dollars, with more complex returns generally not more than $250 to $275. Weigh that cost against your potential added tax benefit or potential tax pitfall and decide if it is worth your time or not.
Canal Place Building
12101 East Second Avenue, Suite 201A
Aurora, CO 80011
Phone: (303) 364-0400
Fax: (303) 364-0404