Significance

• As the tax code of the United States and many states becomes more complicated, more people are turning to professionals for help in preparing their returns. Many already have accountants and lawyers who may preform this function, while others turn to companies like H&R Block, Jackson Hewitt and Liberty Tax and other tax preparation services for help (see Resources below).
  
  

Function

• There are four basic needs that can be fulfilled by having someone else do your taxes: accuracy, speed, handling a complex tax issue or creating a tax strategy for you to follow. All sources available to you will talk about accuracy. If you need your returns done quickly, go to one of the franchised locations of national companies such as those mentioned above. If you need to work within a customized plan, seek the advice of a CPA. And if you have a thorny tax problem, look for someone with specific experience in dealing with it.
  
  

Features

• To remain competitive, many national firms offer additional guarantees to attract you. For instance, many of them will represent you in front of the IRS or state tax people for any issue raised in your returns. Some will even guarantee their work for an additional fee. And many now advance you your tax refund that you will repay when you receive it.
  
  

Warning

• If you decide to have your income tax returns prepared by a nationally recognized tax preparation service, make sure that the person responsible for your returns has the appropriate education. Many of them are only open during tax season, and they train people to handle the most common tax matters. They offer no guarantee that the person on your account is capable of handling your return. To be safe, ask that the most experienced tax preparer be associated with you and your account.
  
  

Considerations

• The cost of someone else doing your tax returns can be lowered by actions that you can take, because all charges are based on the amount of time your returns will take to prepare. For instance, organized all your tax information ahead of your first meeting with the tax preparer. List all sources of income, deductions and other information that your tax preparer will need to complete your return. The chances are good that you will pay less because you have complied with their need for information.