Having a trusted tax advisor is critical for business owners. Choosing the right one can save time, improve accuracy, and boost profitability. Tax advisors understand the laws governing individual and business taxes. They also have experience representing businesses before IRS officials. They often work year-round, unlike tax preparers, who are only available during tax season.
Tax Compliance
The tax filing process is complex and can be time-consuming for business owners. A professional Denver tax advisor understands the intricacies of navigating state and federal regulations as they change annually. This allows them to provide valuable information and insight to clients regarding potential tax savings while ensuring compliance with company obligations.
A tax professional can find efficient ways for clients to legally minimize their taxes (without evading them). They also make themselves available throughout the year to address other questions or concerns.
Ignoring or mishandling a tax issue can result in hefty fines, penalties, or even the loss of financial and property assets. A tax advisor is experienced in communicating with government agencies and resolving issues quickly. This can alleviate stress for busy business owners.
Tax Planning
A tax professional has experience with the complexities of filings. They understand the tax code and can help you save money through practices like deductions and credits. They keep up with the changing guidelines to make sure you comply.
Many people end up paying more taxes than they owe because they don’t know what deductions are available to them.
Filing taxes takes much time that could be better spent on other activities. Tax professionals can file accurate forms for you, which allows you to focus on your business. They also help with tax planning to ensure you’re not overpaying or paying too little.
Tax Incentives
Tax incentives are reductions or exemptions from money owed to the government. The government uses them at any level – local, state, or federal – to achieve specific economic and social goals.
Government officials often decide whether or when to use tax incentives based on the costs and benefits involved in those incentives. Those benefits are often economic – the generation of private investment, long-term tax revenue, community development that draws more businesses and residents, etc.
But the most direct beneficiaries of tax incentives are those who directly benefit from those programs – low-income citizens, for example. They might receive subsidies for health care, housing, research and development, or other forms of public assistance. These people need advocates for these programs to be sustained and expanded.
Tax Return Preparation
Running a business is challenging enough, and filing taxes shouldn’t be a burden you carry alone. The time you spend worrying about your taxes could be better spent focusing on company goals, building your client base, or growing the business.
Tax preparation professionals understand the complexities of filing and can guarantee accuracy. They’re also well-versed in current tax laws, so they can provide valuable information and advice on complying with regulations while maximizing tax savings.
They can help you coordinate tax deductions and credits between your personal and business returns. For instance, a loss on your business tax return can be used to reduce your self-employment tax bill, saving you money both now and in the future.
Tax Audit Support
An audit is a scary prospect. Whether it’s a correspondence audit conducted by mail or an office audit where an IRS agent visits your business, there is no need to handle an examination alone.
A tax professional can assist you with preparing the necessary paperwork, filing a timely request for an extension, and submitting documents requested by an examiner. These include receipts, bank deposit records, financial statements, ticket stubs, and legal papers such as divorce settlements or property acquisitions.
Unlike the representation included in some boxed software programs and most tax preparation services, licensed tax professionals must follow IRS rules when representing taxpayers in an audit. Put the industry leaders with 30 years of experience on your side when it counts the most.
