Top 10 Questions to Ask Before Hiring a Tax Accountant
- What kind of clients do you work with?
- Are you available year round?
- What is your experience with the IRS?
- Who will be doing the work?
- Are you a conservative or a more aggressive accountant?
- How do you bill for your services?
- How do you manage multiple entries?
- What can you tell me about the medical expense reimbursement plan?
- What tax program do you use?
- By what method and how often will we communicate about tax issues?
Most Important Questions for Business Owners to Ask Their Accountant
- How does my business compare with competitors?
- What is included in my cost of goods sold?
- What is my gross profit (gross margin) percentage and is this reasonable for my type of business?
- How can I reduce my expenses without compromising my quality or service?
- How much net profit is my business making? Is this profit percentage worth all the effort I’m putting in?
- What is my breakeven point and why is this important?
- Which of my products or services are making me the most profit?
- What can I do to improve my cash flow?
- How much money do I have invested in the business? Would my money earn more invested elsewhere?
- Is my business in a good position financially? Will it be able to survive downturn?
- Do my employees count as independent contractors or true employees?
Questions About Personal Finances
- What are the guidelines for dependents and their deductions?
- What information do I need to keep for taxes?
- What direct business expenses can I deduct?
- Is there anything I should do to increase my savings?
- How much of my home office is deductible?
- How much of my car is deductible?
- How much of my household bills and equipment is deductible?
- How much of my travel expenses are deductible?
- What are the special requirements for business deductions?
- Does the legal structure of my business matter when filing taxes?
- Will it be better to file taxes jointly or separately?
