Tax Preparer: A Fresh Look At An Established Career
For as long as there have been taxes, there have been people who help those with less technical knowledge accurately prepare and submit their returns. This is the essential job of a tax preparer: to help those who don't know much about the code or the restrictions get the maximum refund to which they are entitled while ensuring that all necessary paperwork is filed and all appropriate payment is sent to the government. Could this old profession be a good choice for you today?
What You Need To Prep Returns
At the moment, only Oregon and California have any kind of formal requirement for testing or certification to prep returns. Virtually no tax preparer office will accept a new hire without training them, but previously there was no requirement to do it. Starting in 2013, everyone who wants to be a return professional will need to pass a mandatory test designed and administered by the IRS. Successfully passing the test will lead to becoming registered with the IRS and thus qualified to assist others with their taxes.
The basic qualification is the same: tax knowledge. You need to know what forms to use in a particular situation and how to fill them out. You need to know what information you need from each person, and where all of it belongs on the form. You need to be aware of Federal and state requirements, the differences, and the overlap.
Basic Qualities That Are Helpful For A Tax Preparer
Computerized systems have made it a lot easier to accomplish error-free return filing. However, it's still helpful for the person handling the information and filling out the forms to have a good eye for detail and a facility with numbers. A lot of the code that governs how much citizens must pay is complex, and remembering it all can be difficult if your mind isn't naturally keen at remembering.
In addition, being a good tax preparer requires something a lot of people don't realize immediately: it requires the ability to effectively interact with others. Having people skills helps you make customers feel comfortable as you work with their money. A lot of the information they'll be giving you is inherently very personal. If they don't trust you or feel uncomfortable around you, they'll likely be hesitant to rely on you fully for their return filing.
Where Does A Preparer Work?
There are a surprisingly large number of places that might hire a trained return expert. The most obvious is a company such as H&R Block, Liberty Tax Service, or Jackson Hewitt. These businesses hire many people during the high season (from January till April) to help manage the large number of returns filed during that time. However, you can also go into business for yourself (at least in some situations). You may also be able to work under a Certified Public Accountant, or an IRS Enrolled Agent. It primarily depends on what kind of job environment you want. While it is certainly true that the typical tax preparer works at a local tax office and does so during January-April, there are opportunities for this line of work throughout the year.
What You Need To Prep Returns
At the moment, only Oregon and California have any kind of formal requirement for testing or certification to prep returns. Virtually no tax preparer office will accept a new hire without training them, but previously there was no requirement to do it. Starting in 2013, everyone who wants to be a return professional will need to pass a mandatory test designed and administered by the IRS. Successfully passing the test will lead to becoming registered with the IRS and thus qualified to assist others with their taxes.
The basic qualification is the same: tax knowledge. You need to know what forms to use in a particular situation and how to fill them out. You need to know what information you need from each person, and where all of it belongs on the form. You need to be aware of Federal and state requirements, the differences, and the overlap.
Basic Qualities That Are Helpful For A Tax Preparer
Computerized systems have made it a lot easier to accomplish error-free return filing. However, it's still helpful for the person handling the information and filling out the forms to have a good eye for detail and a facility with numbers. A lot of the code that governs how much citizens must pay is complex, and remembering it all can be difficult if your mind isn't naturally keen at remembering.
In addition, being a good tax preparer requires something a lot of people don't realize immediately: it requires the ability to effectively interact with others. Having people skills helps you make customers feel comfortable as you work with their money. A lot of the information they'll be giving you is inherently very personal. If they don't trust you or feel uncomfortable around you, they'll likely be hesitant to rely on you fully for their return filing.
Where Does A Preparer Work?
There are a surprisingly large number of places that might hire a trained return expert. The most obvious is a company such as H&R Block, Liberty Tax Service, or Jackson Hewitt. These businesses hire many people during the high season (from January till April) to help manage the large number of returns filed during that time. However, you can also go into business for yourself (at least in some situations). You may also be able to work under a Certified Public Accountant, or an IRS Enrolled Agent. It primarily depends on what kind of job environment you want. While it is certainly true that the typical tax preparer works at a local tax office and does so during January-April, there are opportunities for this line of work throughout the year.
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