Tax laws and regulations are extremely complex and detailed; if you are overwhelmed, you?re certainly not alone. There are over seventy three thousand pages in the current United States Tax Code and it is the job of tax consultants to be subject matter experts on all this information. The work of tax consultants can be broken down into two main categories: tax planning and tax preparation. Tax planning involves minimizing the tax obligation of an individual or business by reducing your income, increasing your deductions, and taking advantage of tax credits. Tax consultant in Atlanta GA accomplish this by analyzing your income source, ensuring you receive every deduction and credit that you are entitled to receive, and assisting with your wealth building by studying your investments, and providing a tailored strategy to fit your unique needs and goals. Tax consultants can advise clients to rearrange income or expenditures to fall into a different tax year, change the setup of a company, or ways to minimize the chances of being audited. These are strategies that a lay man would not recognize and therefore would lead to missed opportunities to maximize your tax situation.
Tax preparation is pretty self-explanatory; tax consultants prepare and file an income tax return for their client. Having a tax consultant prepare your income tax return ensures that you are in compliance with all tax regulations, that you have filed by the deadline, and that you are current with all tax obligations. There are serious implications if your return is filed late, contains inaccuracies, or violates a current tax regulation. Consequences include being liable to pay great penalties, possible legal persecution in extreme circumstances, missing out on the opportunity to maximize your tax potential, and the possibility of being audited. Having a tax consultant becomes particularly useful during the audit process. During the audit, a tax consultant is able to formally act as a representative for their client. Therefore, the consultant can field many of the questions and is the main point of contact for tax officials. This is a tremendous resource for a taxpayer and saves their client from much of the stress and work associated with the audit process. As one can see, tax consultants are an invaluable resource in tax planning and preparation.