Wednesday, November 30, 2016

Get The Best Tax Preparation Austell GA Has To Offer

By Christine Stone


Anyone who resides in Austell, GA, whether a citizen or legal alien, is required by law to pay tax. Businesses and other legal entities must also pay tax. This is the cost of living in a free world. Taxes pay for security, infrastructure, education and all other services that are provided by the government. When in need of the best tax preparation Austell GA has to offer, there are numerous factors that you must consider.

Today, technology has been harnessed and used in the tax preparation process. There are many tax software on the market, but some of them are unreliable. Since you do not want to take risks, you should consider hiring a CPA. However, if you have some basic knowledge of the tax code, you can try to do it yourself.

The only professionals who are permitted by law to provide tax-related services to the public are certified public accountants. This is because they have completed the prescribed training program, have the required knowledge as well as the industry experienced needed to competently prepare taxes for third parties. They are also aware of all tax credits and deductions that can help to reduce your tax bill.

Whenever a taxpayer files tax returns that have errors, the IRS will have to carry out an audit to learn more about the financial position of the taxpayer. That said, nobody wants to have their accounts audited. Hiring a CPA to handle your taxes is a great way to avoid these audits.

The type of income you earn affects the tax bill you will be required to pay. For instance, you can expect to pay the lowest tax rate if you earn dividends, interest income or capital gains. However, if you own a company, you can expect the corporation to pay the highest tax rate in form of corporate tax. Employment income is also subjected to a higher tax rate than dividends and interest income.

Since taxes are based on the gross income, some adjustments must be done to determine the total taxable income. For instance, all allowances and perks you get will be added. A company house and car you use, for instance, will be added to your basic salary to determine your taxable income.

Before the applicable tax rate can be applied, tax deductions must first be taken into consideration. For instance, if you are an individual taxpayer, any money you pay towards the interest on your mortgage is deductible. If you acquire a new Energy Star rated heater, you can deduct the whole amount from your total income. This will reduce your tax bill.

There are many factors to consider when hiring a CPA. The first is licensing. This is because you only want to work with a qualified CPA. Secondly, you should consider experience. Before making a decision, you should also check the reputation of a CPA firm. By hiring a qualified CPA, you can be assured of having your taxes filed accurately. Another benefit of hiring a CPA is that it can save you time. After all, your time is best used doing other important things. You can complete your search for a suitable CPA firm online.




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