What Should You Ask Your Tax Preparer?

By now, you likely have a pile of necessary tax filing forms waiting to be used when it comes time to sit down and file your taxes. Keep in mind that many companies are distributing forms digitally, so keep your out for an email saying your tax info is available. If you’ve decided to work with a tax preparer, you should meet with them prior and ask any questions you may have to get a better understanding of their experience and process. But, what kind of questions should you be asking? We put together a few vital ones! 

What information do you need from me to file my taxes?

Depending on your situation, this answer may vary, but at the very least, you will need your identification (for both you and any dependents you’re filing for), last year’s tax return paperwork, this year’s income statement forms, and any proof of expenses that you’d like to write-off/itemize. The more information, the better. This will help your tax preparer better understand your situation and potential deductions you may qualify for. 

What is your tax filing process like?

Every tax preparer has their own process, so you want to be on the same page about what is expected from both parties. Some tax preparers will require multiple meetings and communication throughout the filing process, while others will hold one meeting prior to filing and reach out only when they have questions or need additional information. If you prefer a more hands-on approach, work with a tax preparer who wants regular communication versus one that will contact you when it’s time for your signature. 

What kind of deductions, if any, do I qualify for?

Your tax preparer should be knowledgeable on the available tax deductions. The opportunities for deductions might seem endless, but there is always fine print for who qualifies, so work with a professional who is aware of the deductions, if you qualify, and the additional paperwork needed. 

How does my side hustle impact my taxes?

Many of us have side hustles to bring in extra income, but what does this mean come tax time? Because there are so many different side hustles with varying degrees of income, it’s vital to have an in-depth conversation with your tax preparer about your side hustle(s), the income you’ve made, and the steps for moving forward. Although extra income is nice, it does complicate things come tax time, so it’s important to have a game plan. 

What can I do differently to improve my tax situation?

A great tax preparer won’t simply file your taxes and disappear. A great tax preparer will work with you on how to improve your future tax situation by offering realistic suggestions for moving forward. They can offer insight on your tax withholdings, buying or selling a house, turning your side hustle into a small business, and more.