Do you need to be a CPA to do taxes?

Do you need to be a CPA to do taxes?

No, someone does not need to be a CPA to prepare tax returns.  Anyone can prepare their own tax return.  To be allowed to prepare returns for others, the IRS requires that the person be registered annually, receive a PTIN (Preparer Tax Identification Number), and pay an annual fee.  In addition, some states may require other qualifications. To represent a taxpayer before the IRS, you need to be a CPA, an attorney or an enrolled agent.

How much does it cost to have a CPA do your taxes?

The cost of hiring a CPA varies from one company to another. Some CPA professionals charge by the hour and some on a fee basis. We recommend that you discuss the fees at the beginning of your engagement.  You don’t want to be surprised with the charge after the work has been done.  The most important thing is that you get value for the service.  In our firm, we have been able to be very competitive with our fee structure so that our clients get more professional advice and service for the same fee that they would pay a non-cpa firm.

Is a financial advisor the same as a CPA?

No, financial advisors are different from CPAs. The term “Financial advisors” is a general term mainly used to those who are licensed to sell products, such as insurance and annuities.  Sometimes a stockbroker, insurance agent, and registered investment advisor are referred to as “a financial advisor”.  These individuals and companies help with acquiring and building wealth through the purchase and disposition of stocks and bonds as well as asset management. Much of their activity depends on the licenses that they hold.

Do CPAs give financial advice?

Yes, CPAs give financial advice to their clients because of their experience and qualifications. CPAs have a broad knowledge base and are a good initial resource for getting answers to questions or helping people to get pointed in the right direction.

Because of their background, CPAs can help with:

  • Tax strategies and consulting
    • Selling real estate
    • Value of a business
    • Business entity selection
    • General bookkeeping
    • Payroll filings

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