MileIQ: Mileage Tracker & Log

MileIQ Inc.

GET — On the App Store

View
MileIQPricing
Open MenuClose Menu
Taxes

10 tips for choosing a tax preparer

Stephen Fishman
Tax expert and contributor MileIQ
April 9, 2019

Download MileIQ to start tracking your drives

Automatic, accurate mileage reports.

Get Started

It's tax time. A majority of taxpayers hire someone to help them prepare their returns. Here are ten tips for choosing a tax preparer.

Is my tax preparer responsible for mistakes?

You are still legally responsible for everything your tax return contains. This is true even if someone else prepares your return. Needless to say, you should choose your preparer wisely.

Check the preparer's qualifications

You should always check a preparer's qualifications before hiring him or her. The IRS has an online tool to help you.

This tool is a searchable and sortable listing of tax preparers. You can find the ones based on your needs for skills, education and expertise. All preparers in the directory currently hold professional credentials recognized by the IRS or hold an Annual Filing Season Program Record of Completion.

Check the preparer's history

If the preparer is not a CPA, enrolled agent, or attorney, lean on the Better Business Bureau for information about them. For CPAs, check with the State Board of Accountancy.

Attorneys should check with the State Bar Association. For Enrolled Agents, go to the verify enrolled agent status page on IRS.gov or check the directory.

Ask about service fees

Avoid preparers who base fees on a percentage of the refund or who boast bigger refunds than their competition. Such an arrangement encourages tax fraud-and you'll be liable along with your preparer. When asking about a preparer's services and fees, don't give them tax documents, Social Security numbers or other information.

Download MileIQ to start tracking your drives

Automatic, accurate mileage reports.

Get Started

Ask to e-File

Make sure the preparer will file your return electronically. This is the quickest way to get your refund.

Provide records and receipts

After you hire them, good preparers will ask to see your records and receipts. They'll ask questions to figure things like the total income, tax deductions and credits.

Never sign a blank return

Don't ever hire a tax preparer who asks you to sign a blank tax form. This invites all sorts of fraud.

Review return before signing

Review your return before signing it. Make sure you understand everything in it. Ask questions if something is not clear. Remember, you're responsible for everything in your tax return. The preparer should give you a copy of the completed tax return.

Your refund should go to you

Make sure that your refund goes directly to you, not to your preparer's bank account. Review the routing and bank account number on the completed return.

Ensure the preparer signs and includes their PTIN

All paid tax preparers must have a Preparer Tax Identification Number issued by the IRS. By law, paid preparers must sign returns and include their PTIN. Any preparer who doesn't do this is illegitimate.

Report abusive tax preparers to the IRS

Report abusive tax preparers and suspected tax fraud to the IRS. Use Form 14157, Complaint: Tax Return Preparer. If you think that a tax preparer filed or changed your return without your consent, you should file Form 14157-A, Return Preparer Fraud or Misconduct Affidavit.

Still tracking miles by hand?

Use MileIQ to automatically keep a full, IRS friendly mileage log.

Get Started

Related Blog Posts

Small Business Tips

Tips on Filing Your Small Business Taxes for the First Time

Nervous about first time filing taxes for your small business? Here are some tips to help the process go more smoothly.

Small Business Tips

5 ways small businesses can give back without going bust

There are many ways small businesses can give back to their communities. Learn about five options for giving your community and your business a boost.

Self Employed

How to Get Started in a Real Estate Career

A career in real estate can be exciting, fulfilling, and financially rewarding. To get started, learn the necessary steps to launch your real estate career.

Heatmap Analytic in smart fashion retail shop
Small Business Tips

Loss prevention tips for small business

Inventory loss from shoplifting, employee theft or vendor fraud, cause over $34B in losses every year. Here are some useful loss-prevention tips.

Taxes

Parking Deduction 101: Writing Off Parking Costs on Taxes

The parking deduction lets you write off parking costs on taxes if it's for a business purpose. Learn what the requirements are and what you can't deduct.

Self Employed

5 Resolutions for the Self-Employed

These resolutions for self employed workers will help you start the new year right. These are tips that will help any freelancer or small business owner.

MileIQ: Mileage Tracker & Log

MileIQ Inc.

GET — On the App Store

View
MileIQPricing
Open MenuClose Menu

It's tax time. A majority of taxpayers hire someone to help them prepare their returns. Here are ten tips for choosing a tax preparer.

Is my tax preparer responsible for mistakes?

You are still legally responsible for everything your tax return contains. This is true even if someone else prepares your return. Needless to say, you should choose your preparer wisely.

Check the preparer's qualifications

You should always check a preparer's qualifications before hiring him or her. The IRS has an online tool to help you.

This tool is a searchable and sortable listing of tax preparers. You can find the ones based on your needs for skills, education and expertise. All preparers in the directory currently hold professional credentials recognized by the IRS or hold an Annual Filing Season Program Record of Completion.

Check the preparer's history

If the preparer is not a CPA, enrolled agent, or attorney, lean on the Better Business Bureau for information about them. For CPAs, check with the State Board of Accountancy.

Attorneys should check with the State Bar Association. For Enrolled Agents, go to the verify enrolled agent status page on IRS.gov or check the directory.

Ask about service fees

Avoid preparers who base fees on a percentage of the refund or who boast bigger refunds than their competition. Such an arrangement encourages tax fraud-and you'll be liable along with your preparer. When asking about a preparer's services and fees, don't give them tax documents, Social Security numbers or other information.

Ask to e-File

Make sure the preparer will file your return electronically. This is the quickest way to get your refund.

Provide records and receipts

After you hire them, good preparers will ask to see your records and receipts. They'll ask questions to figure things like the total income, tax deductions and credits.

Never sign a blank return

Don't ever hire a tax preparer who asks you to sign a blank tax form. This invites all sorts of fraud.

Review return before signing

Review your return before signing it. Make sure you understand everything in it. Ask questions if something is not clear. Remember, you're responsible for everything in your tax return. The preparer should give you a copy of the completed tax return.

Your refund should go to you

Make sure that your refund goes directly to you, not to your preparer's bank account. Review the routing and bank account number on the completed return.

Ensure the preparer signs and includes their PTIN

All paid tax preparers must have a Preparer Tax Identification Number issued by the IRS. By law, paid preparers must sign returns and include their PTIN. Any preparer who doesn't do this is illegitimate.

Report abusive tax preparers to the IRS

Report abusive tax preparers and suspected tax fraud to the IRS. Use Form 14157, Complaint: Tax Return Preparer. If you think that a tax preparer filed or changed your return without your consent, you should file Form 14157-A, Return Preparer Fraud or Misconduct Affidavit.

Get started for free