Tax preparation services are offered year-round, by appointment only. My services include electronic filing (through the October 15 efile deadline), penalty and interest guarantee on any preparation error, and backup of your tax data for six years. Areas of specialty include individual, gift and fiduciary (estates and trusts) tax returns.
While it is important to timely file a tax return (by the due date or with an extension) if you are required to do so, there is no late penalty if you are due a refund. However, there is a three-year statute of limitations in claiming a refund (or two years after the tax has been paid, whichever is later) on an original or amended return. So generally, it is too late to claim a refund for the 2005 tax year and time is running out for 2006 refunds. Only the other hand, if you haven't filed, the IRS can require you to file any unfiled years and be subject to penalty and interest on any balance dues.
Advice:
- Always file your tax return, even if you owe. The penalty is greater on the nonfiling than on the underpayment.
- If you haven't file a return when you were required to do so, best to bite the bullet and do it now, rather than worry if the IRS will contact you.
- Keep your tax return for three years; six years if you may have underreported income; keep records concerning stock purchases and business purchases as long as the assets are still owned.
Offered primarily during the 'offseason,' ie, the summer and fall. Starting a business and need a little help with understanding how to make estimated tax payments or what expenses are deductible? Need advice on adjusting your W-4 withholding because of increased income? First-time homebuyer? Consultation fees are $35/half hour, $20 additional half-hours. A 30-60 minute consultation is sufficient in most cases. If you were referred by a current tax client and only have a couple straight-forward questions, this is provided on a complimentary basis and can be done via email or phone.
As an enrolled agent, this is a category of tax professional whom the IRS has authorized to represent clients before the Examinations Division. If you have received a Notice of Assessment (or similar notice) see consultation services. Most notices are correspondence notices, either correcting what was reported or not reported on your tax return, or requesting further information.
Otherwise, if you have received a notice that you are being audited and scheduled for an appointment with an IRS examiner, my fees for audit representation will be $40 per hour for any research, compilation and preparation time necessary to prepare a proper representation for you, of which I will provide you an estimate beforehand. Representation during the office examination is charged at a $50 hourly rate (in half-hour increments). Fees are lower for current tax clients. A two-hour retainer is required beforehand. You will need to sign a power of attorney form, authorizing me to represent you in the specified tax matter, which also allows you not to have to attend the office examination if you so choose.
Finally, if facing a large tax balance due, two options which can help taxpayers deal with that situation would be an installment agreement request or an offer in compromise (OIC). The first option cuts the late payment interest rate in half and allows the taxpayer to make scheduled periodic payments. The IRS must accept this agreement if you cannot pay the balance due in full, the balance is not over $10,000, and will be paid in three years or less. There is a user fee added to the agreement. My fee for preparation of an installment agreement request for new clients is $40.
An OIC is more complex, based on one of three arguments (doubt as to liability, doubt as to collectibility, or effective tax administration). The second two arguments requires three months' documentation of your expenses and income. An OIC requires a payment and $150 application fee to be submitted with the offer. There are numerous advertisements from companies claiming they can reduce it to pennies on the dollar. If it sound too good to be true... However, it is possible to substantially reduce your tax obligation if you meet the proper qualifications and provide the necessary documents. More information is here. My fee for preparing an OIC and follow-up correspondence is $600.
For these additional services, an engagement letter will be signed outlining the services provided, fees, and responsibilities of both myself as the tax practitioner and you as the client.