WHAT ARE THE DIFFERENCES BETWEEN AN ACCOUNTANT, A CPA AND A BOOKKEEPER?
Bookkeepers have a sole responsibility of managing financial data. They focus on providing the business with correctly categorized transactions and well managed income statements. An accountant provides a more specialized service with multiple areas of expertise. An accountant can usually complete most tax services without any issues but be careful, not all of them are certified to insure the most accurate results. CPA's however, are certified by the state(s) in which they practice accounting services. In order to become a CPA, an accountant must earn a 4-year degree and even further education after that. Experience may also be required to sit for the 4 long exams that have been referred to as 'the most difficult professional exams'.
HOW DO I KNOW IF TAG ACCOUNTING & TAX SERVICES IS RIGHT FOR MY NEEDS?
Finding Win-Win relationships is always the best part of meeting new clients. Everyone will need different services and every business could be completely different from the next. The fact is, not all people need accounting services like ours and some need us more than they know. We've found that in past years, there hasn't been a single person who has come to us asking for help with something out of our reach. I encourage you, please challenge us with whatever you can.
HOW LONG SHOULD I KEEP MY TAX RECORDS?
The IRS can audit up to 3 years back without any evidence of foul play. They can also go back 5 years if they find something suspicious in a tax return. What we tell to all of our clients and the rule that we follow is: keep at least 5 years of returns through the most recent one. In Fall of 2017 you should have records of 2012-2016 returns. Next summer you should have 2013-2017.