tax refunds up slightly

chart of irs filing data
[click for larger image]

everything else is down.

now that tax refunds are flowing out steadily, they are ever so slightly higher than last year.

more on taxes: tax filings data looking less squirrely | tax return filings still lag, but pros hold 57% of market | tax filings down, but irs blames the calendar
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that’s the only filing statistic on the positive side, though. four fewer reporting days than at the same time last year has most markers down around 10 percent.
read more →

irs budget: penny-wise, pound-foolish

irs funding in decline. ($ billions, inflation adjusted)

tax professionals feel the pain.

by rick telberg
卡塔尔世界杯常规比赛时间

people don’t often have much nice to say about the internal revenue service. but everybody seems to like what internal revenues pay for—the powerful military, the court system, the interstate highways, air travel safety, the control of disease, the prevention of pollution, national parks, health benefits for elected officials, and so much more.

without taxes, we don’t have a great country. we don’t even have civilization. and without the irs, we don’t have taxes.

despite the crucial importance of the irs, congress has reduced the service’s budget to the point where lost revenues may exceed (if they aren’t already) cost savings. and the problem can only get worse, professionals say, with a 14-percent budget cut next year, as reportedly planned by the white house. read more →

irs taxpayer advocate questions preparation of tax preparers

three big issues: code, cooperation, competence.

table shows reduction in irs geographic presence and employees since 2011.

 

by rick telberg
卡塔尔世界杯常规比赛时间

national taxpayer advocate nina olson, who heads the taxpayer advocate service, is citing three broad areas that congress should deal with if it hopes to avoid revenue catastrophe at the internal revenue service.

related: future state or future shock? irs watchdog warns of dubious irs plans

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the three main issues are: read more →

future state or future shock? irs watchdog warns of dubious irs plans

questionable solution: irs outsourcing taxpayer communication.

 

by rick telberg
卡塔尔世界杯常规比赛时间

a few years ago the internal revenue service launched a belt-tightening overhaul it called the future state.

the changes were devised with good intentions. the service wanted to deal with taxpayers more through the internet and less over the phone or in person. it would also expect taxpayers to hire outside tax specialists to give them advice that the irs had once offered as a free service.

ideally, all of this would reduce the cost of collecting taxes. but the taxpayer advocate service soon warned that the changes would lead to more aggravation and less goodwill among taxpayers. less goodwill, the tas said, could lead to less compliance, which translates into less revenue to the united states treasury.

the irs heard the warnings and initiated a country-wide series of forums and a website dedicated to explaining the future state plan. irs representatives even went before congress to explain that the service was not eliminating all phone or personal contact with taxpayers.

national taxpayer advocate nina olson, who heads the tas, commended the irs on these outreach efforts, but she felt that the real problems had not been addressed. the plan failed to consider and incorporate the needs and preferences of people who are expected to voluntarily comply with their tax obligations, i.e., american taxpayers.

read more →

tax season productivity hacks

five good habits for getting things done.

the best time management tips:
join the survey, get the answers

by salim omar

tax time is widely considered the “busy season” for practitioners, but it doesn’t have to mean chaos and misery. a well-managed firm allows its owner to conduct business and live life at a reasonable pace no matter what the season.

more on productivity: does busyness really mean productivity?  | how many hours should accounting staff work?  |  when everything takes too long  | new lessons in time management
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by employing a few clever and surprisingly simple productivity hacks, you, too, can have a better tax time experience beginning this very season. put these new habits to work for you now: read more →

how to turn routine cpe into a new marketing opportunity

cpe: it’s not just for staff.

by jassen bowman
tax resolution systems

as public accounting firms continue to make strides in the modernization of their business development processes, there is one unique opportunity that they might be overlooking: in-firm cpe offerings.

more by jassen bowman: how to end the tax revenue roller coaster with a four-season practice model  |   tax filing season is almost over. what’s next?  |  more

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about half the accounting firms i speak with each week tell me that they produce a significant amount of their continuing education training in-house. these programs are most often created and delivered by the firm’s own subject matter experts, and are delivered to staff not just to fulfill cpe requirements, but to directly improve the skills of these accountants.

what most firms miss, however, is that these presentations are also an opportunity for the firm to showcase their capabilities to both prospects and existing clients.

in short, think of your in-firm cpe programs as a content marketing opportunity.

read more →

tax filings data looking less squirrely

chart of irs filing data for week ending feb. 10, 2017
[click for larger image]

some refunds remain unreported, but filings are catching up.

by beth bellor
卡塔尔世界杯常规比赛时间

year-to-year differences in tax filing data are starting to level off.

more: tax return filings still lag, but pros hold 57% of market | tax filings down, but irs blames the calendar
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four fewer reporting days in 2017 skewed results at first, but statistics for the week ending feb. 10 show a difference in returns filed of around 17 percent, about half the 33 percent decline that led off the season.
read more →

letting staff go after tax season

4 reasons it’s a bad idea.

by ed mendlowitz
the 卡塔尔世界杯常规比赛时间 practice doctor

question: i am planning on letting go of some staff after april 18 and will hire replacements at a higher level. any suggestions?

more: checklist: 46 avoidable tax-filing errors – if clients only knew | free instant download: sample fee schedule for 1040s | how to prepare returns for a multiple-year non-filer | 9 questions to ask about divorce and taxes
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answer: 1) your implication is that you will hire replacements at a higher level.
read more →

how to sell bundled tax services

flat fees relieve “clock watching.”

by ed mendlowitz
how to build a stronger tax practice

following are two sample engagement proposals for tax return preparation bundled with additional financial planning and business planning services.

more on marketing: how to prepare returns for a multiple-year non-filer | structuring partnership and buy-sell agreements | the 64-point business startup checklist | how to offer second opinions | how to offer employment compensation assistance | basic budgeting for clients | guiding heirs | 11 questions to ask every tax client | add new revenues with tax prep follow-ups | marketing vs. selling: both must serve the client first
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letter 1:
read more →

survey results: who’s afraid of busy season 2017?

卡塔尔世界杯常规比赛时间 research projects shake-out of weaker firms.

join the survey. get the results.

by rick telberg
卡塔尔世界杯常规比赛时间

the difference between the potential winners and losers this busy season could hardly be more stark, according to a 卡塔尔世界杯常规比赛时间 analysis of the annual busy season outlook tracking survey.

while some 56 percent of accountants so far say they’re looking at a “better” or “much better” busy season this year than last year, a distinct minority of about 16 percent is bracing for problems, trouble and setbacks.

more on busy season:  bullish on busy season 2017  |  46 avoidable tax-filing errors – if clients only knew  |  tax prep gets off to strong start  |  sample fee schedule for 1040s  |  tax filings down, but irs blames the calendar  |  survey results: busy season 2017 gets off to strong start   |   2017 fee survey: price for non-itemized 1040s advances 6% to $176   |   the annual tax meeting is dead. clients killed it.   |   reader sound-off: mandatory saturdays stir controversy    |   tax season opportunity kit free instant download   |   world envies low u.s. tax rates on luxury real estate transfers   |   the new small-business loophole you can drive a truck through

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the annual survey tracks the attitudes, behaviors and benchmarks of tax and accounting professionals throughout the season, providing real-time metrics and trends by which practitioners can chart and steer their business plans. the survey remains open throughout the season, as an invitation to professionals to participate regularly. as a reward for joining the survey, participants are provided the first look at new topline findings. join the survey; get the results.

in examining some of their other responses, the reasons emerge with clarity. for instance, those expecting a “worse” year, are three times more likely than those expecting  “better” season to cite the “general economic situation” as a chief concern, twice more likely to blame “competition from others,” a third more likely to report “technology or software problems, and a quarter more likely to be having problems with “new accounting and auditing” and staffing” issues. those issues cut to the heart of fundamental and basic operations. read more →

a little tax humor

portrait of a young laughing businessman with tablet computer in officetake a break for a few minutes.

editor’s note: every tax season for the last umpteen years, robert e. mckenzie, a tax lawyer at  arnstein & lehr in chicago, has made a tradition of sharing his carefully curated collection of tax jokes. here are a few of his latest. enjoy!

by robert e. mckenzie 

1) “three things are certain in life. death and taxes are two of them. the third is tax fraud.” – matt pearce, la times, april 19, 2016

 

more: how many irs agents does it take to screw in a light bulb?

 

2) “i think nobody knows more about taxes than i do, maybe in the history of the world. nobody knows more about taxes.” – donald trump during 2016 campaign

3) “anonymous just hacked trump’s tax returns. unfortunately, like trump’s hands, the numbers are tiny and impossible to make out.” – michael r. burch

read more →

tax return filings still lag, but pros hold 57% of market

chart of irs filing data for the week ended feb. 3, 2017
[click for larger image]

four days fewer in 2017 still skewing statistics.

the irs continues to churn back tax returns nearly as quickly as it receives them, while the percentage that were self-prepared is tracking higher than the same point last year.

more: tax filings down, but irs blames the calendar | survey results: bullish on busy season 2017 | 2017 fee survey: price for non-itemized 1040s advances 6% to $176
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with 20.18 million returns received as of feb. 3, the latest data available, the agency had processed 19.97 million or 98.9 percent of them.
read more →

checklist: 46 avoidable tax-filing errors – if clients only knew

tax season checklists: learn more

here’s a handy checklist to share with clients.

by ed mendlowitz
tax season checklists

taxes are hard enough without making avoidable errors. before clients file, they should double check to make sure they don’t make these errors. we often hand out this checklist to clients to avoid mistakes in advance.

  1. not signing the return (if you file paper copies)
  2. number transposition and spelling errors
  3. unchecked or unanswered questions
  4. entering incorrect or unpaid estimated tax payments
  5. missing pages in a paper filed return read more →