Tips for Finding the Best CPA Tax Accountant in Fort Collins

When choosing a CPA tax accountant for your small business in Fort Collins, you must have a standard, especially if you are looking for the best. Anyone can claim to be offering top-notch small business tax preparation services and fall short in some areas. They say you can’t have it all, but you can find the perfect accountant if you choose carefully.

Start by asking the most important and beneficial questions to help you filter out the most qualified CPA tax accountant. Here are a few:

Ask for a PTIN

One of the IRS’ requirements during tax filing is the PTIN (Preparer Tax Identification Number). Your CPA tax accountant should provide this detail in the tax returns form for compensation purposes. The PTIN should be valid during the tax year. For verification, you can look up an accountant’s PTIN through CPAVerify.org.

Use a CPA tax accountant, not just someone who has a PTIN

Having a PTIN is not the golden standard for excellent tax accounting. Make it a priority to determine the type of license your accountant holds.

There are three types of licenses: CPA (certified public accountant), EA (enrolled agent), and tax attorney. When it comes to doing your taxes, you want a CPA who holds the highest level of accounting expertise. A CPA has an accounting degree, is a CPA Exam passer, and has completed the required number of work hours to be eligible for an accounting license.

With a solid CPA license, you can be sure that your tax documents are in the best hands.

How to Verify Your CPA Tax Accountant’s Credentials

Checking your tax accountant’s credentials is a logical move, given that financial statements are sensitive material. You need to be 100% confident that you are working with someone with a proven track record. It’s easy. You can use the IRS directory, a practical tool as it lists only credentialed accountants, tax lawyers, and enrolled agents. Those who only possess PTINs are excluded from the database.

Memberships are worth taking a look

Memberships in reputable organizations like the National Association of Tax Professionals or the American Institute of Certified Public Accountants (AICPA) add to a CPA’s credibility. Usually, professional organizations have sets of rules and codes of ethics that their members must abide by. Most of these groups also require their members to have specific credentials.

CPAs can represent you in front of the IRS

Sometimes, the job doesn’t end with tax filing. The IRS would flag problematic submissions and subject a company to an audit or tax review of the financial information provided. There will also be penalties. And since you did not prepare the tax documents yourself, you will find it hard to account for any errors or discrepancies in your submissions.

A good CPA will have a keen attention to detail avoiding any problems that may raise an issue with the IRS. If an honest mistake occurs, your tax accountant should be able to back you. Small business tax preparation firms also offer audit protection, which frees you from any liabilities should such an incident arise.

Ask About Their Experience

CPAs with more than five years of experience in tax return preparation are more favorable than those with less. This will demonstrate their level of expertise and exposure to this kind of work. Tax accountants who have done small business bookkeeping and tax services are also equally capable. However, those who have worked with large companies are better trained to handle complex tax matters.

While a talented tax accountant can handle complex financial data in general, someone who has worked in the same industry as yours is still your best pick. Hiring a CPA with relevant experience who knows the system and requirements, reducing the preparation time and making the most out of your money.

Check Their Fees

Checking how much your prospective tax accountant will charge is also important. But first, learn the basic rates and possible add-ons. If you are tight on budget, try comparing prices. The average fees can go from $130 to $900 depending on the workload, tax types, number of work hours, and the type of your company’s entity.

Keep in mind that although price matters, this should not be your only consideration. Some tax preparers may collect lower compensation rates without any guarantees that they can deliver quality work. Others may charge higher, but you can be sure that your tax return submissions will be flawless.

3 Reasons Why You Should Have a CPA Tax Accountant in Fort Collins All Year Round

Many small business owners in Fort Collins think that hiring a CPA tax accountant only when the need arises is more cost-effective. Some contact a CPA only during tax time or when they are in the middle of a financial crisis, not realizing the benefits of regular consultation.

This habit can land you in a bad place with the IRS and put your business at risk. If you are among those who may be questioning the value of working with a CPA throughout the year, here are three reasons why you should stop hesitating and start changing your business for the better:

Unlimited financial advice

As a business owner, your mind is set on making profits and taking advantage of every financial opportunity presented to you. You can recognize valuable business opportunities from risky ones if you have a CPA to consult for financial advice. Your accountant can advise you on what risks are worth taking and what to avoid.

More importantly, getting small business tax preparation services and consultation can help you benefit from business opportunities without breaking the rules related to taxation.

Better financial management

Like tax preparation, financial record-keeping is not only a time-consuming process but a data-sensitive task. Money continuously comes and flows out and if your attention is divided between managing your company and accounting, you may lose track of your company’s financial health. Identifying where your business is weakest and strongest will be difficult because the numbers are not documented properly. This is a disaster that you can avoid if you have a CPA working closely.

It is also essential to always get your finances in order, so tax preparation is easy. Aside from that, your company can take advantage of tax exemptions and write-offs available.

Getting on top of your taxes

As a business owner, you may well be aware of the tax responsibilities before, during, and after tax time. It would be best if you had a CPA to consistently work with you on this, especially after filing your taxes. The IRS may find errors or inconsistencies that your CPA can help you fix or clarify through additional financial documentation.

Two of our clients who loved working with their CPAs were once caught in a tight corner after finding out their taxes were a huge mess. Worse, it was the month of September when quarterly taxes were due! If not for our CPAs (who were able to step in at the last minute and help fix everything), they would have been triple on their taxes and possibly filed incorrectly.

You can avoid such risks if a CPA works with you monthly or quarterly. When they are working with you regularly, you are less likely to run into problems with your taxes, keep a better eye on your business, and avoid other accounting problems, especially during tax season.

Juggling business management and accounting can be a headache, and you risk missing great business opportunities that could bring you success. These potential opportunities and regular evaluations are essential for the growth and maintenance of any business. It is better to have an accountant working with you regularly.

Steven J Wick & Associates, P.C. Wick offers accounting and bookkeeping services, payroll and tax preparation services, and business consulting—which covers a lot of ground when reviewed regularly. We’re a one-stop shop for business owners looking for a reliable accounting firm to help take their business to the next level.

Find a Reliable and Trustworthy CPA Tax Accountant in Fort Collins to Take Care of Your Tax Preparation Needs

Filing your tax returns is time-sensitive and you need a talented CPA tax accountant in Fort Collins who works fast and smart. Based on the tips provided in this article, you can also create criteria specific to your tax accounting needs.

Many local firms offer small business tax preparation services but what we have at Steven J. Wick & Associates is exceptional. Our team of skilled and reliable accountants has many years of experience working with various companies and industries. If you want someone to handle your tax preparation, we can help you. And since we know that entrepreneurs can have a lot of financial issues to deal with, we can also assist you with our CFO, business consulting, bookkeeping, payroll, and tax services for small businesses.

Our goal is to provide your small business with quality and complete financial services. So, if you get caught up in a web of accounting matters, Steven J. Wick & Associates, PC can help you. Give us a call, and let’s get down to business!