As we all know, the business and tax environment has become rather complicated over the years. Business owners find it difficult to stay compliant with all the tax requirements as they lack the expertise needed to navigate through the complex processes of income tax return. This is where Enrolled Agent (EA) come in. These are professionals who are totally equipped to assist business owners handle financial and tax issues, representation before the Internal Revenue Service (IRS), tax planning, auditing, and much more.
In this blog, we will tell you why it is beneficial for business owners or anyone struggling with financial planning, tax planning, tax return, etc. to hire an Enrolled Agent. For this, we have listed some key points. Let’s take a look at them.
Representation Before The Internal Revenue Service
The great thing about hiring an EA is that they can properly represent you before the IRS in an audit. Business owners dread audits even if they haven’t done anything wrong. The whole process is known for being tedious and complex, and of course, time consuming. When an audit happens, a business has to put forward records, information, and other materials so that IRS can corroborate items reported on the tax return. An EA will represent you in this matter and deal with the IRS on your behalf.
Use Tax Deductions & Credits
Business owners should try to use every possible means to minimize taxes for their business. If you feel you are not doing enough in this realm, then it is time to reexamine your current situation. One of the chief reasons why people prefer to work with EAs is that they allow business owners to maximize tax deductions and credits. An EA will take a thorough look at your current situation and present before you the best way of lowering current year’s tax liability.
Bring Down Filing Problems
The nature of an EA’s job allows them to stay fully up-to-dated about changing tax laws. New reforms in taxes continue to bring complexity to the whole process, which often lead to issues pertaining to tax filing. Working with an EA will bring down these issues considerably.
As you can see, an EA can prove essential for business owners in matters of finances and taxes. If interested, you can get in touch with Chris Cooper & Company. Chris Cooper is a renowned licensed fiduciary in California. He is also a member of the National Association of Personal Financial Advisors.