Frequently Asked Questions
Accounting Services FAQs:
What is Bookkeeping / Why is Bookeeping so important?
A:Bookkeeping is the practice of recording and tracking the financial transactions of a business. This includes regularly summarizing this activity into reports such as Profit/Loss Statements, Balance Sheets, & other financial or managerial reports that show how the business is doing. Bookkeeping is so important because it is the source of essentially everything we do. Without proper and accurate bookkeeping; tax preparation, tax planning, & other services become virtually impossible to provide.
Is QuickBooks required?
A: Major CPA Tax & Accounting Services uses QuickBooks for all client bookkeeping engagements. For clients wishing to use other software / bookkeeping providers (including maintaining their own bookkeeping) should not apply for Accounting services with Major CPA. Instead, you should apply for tax return preparation and/or schedule business consultation(s) as applicable.
How much is monthly bookkeeping?
A: Your monthly rate is based on the information you share during your discovery call such as business industry, number of business accounts being maintained, condition of current books required tax return(s) & required filings & jurisdictions amongst other factors. All bookkeeping engagements start at $350.00 per month.
Is Tax Planning included in my monthly bookkeeping?
A: Identification & notification of potential tax savings opportunities is including in your monthly bookkeeping rate however implementation / execution of such opportunities are considered out of scope and will be covered under separate service agreements. For example, we may discover an opportunity to reduce your tax liability with a specific tax plan that takes 10 hours of additional time to implement / execute. The additional time needed to implement/execute such plan is subject to additional fees.
Tax Preparation FAQs:
What type of tax returns do you prepare?
A: Major CPA Tax & Accounting Services assists clients with tax return preparation of all types including: Individuals Returns (Form 1040), Partnerships (Form 1065), S-Corporations (Form 1120-S), C-Corporations (Form 1120), Trusts (Form 1041), Non-Profits (Form 990 series), & more.
How long does it take to have my tax returns prepared.
A: The turn-around time for tax return preparation varies based on when all necessary documents needed for tax return preparation are completed. Ideally individual returns can be turned around within a 72 business hour timeframe assuming all documents are provided timely, and completely (i.e. all documents are submitted at once vs having to follow up on missing documents) while most business returns can be turned around within 10-14 business days assuming the same. As a rule of thumb, the earlier a client is able to provide all of their information and does not require follow-up actions, the sooner the returns can be completed.
How much do you charge for tax return preparation?
A: Tax return preparation fees will vary from client to client based on their unique set of circumstances. Variables such as type of return needed (individual vs business), condition of books & records, filing status, credit eligibility, rental & other forms of income including investments amongst other factors all influence tax return pricing. For a more personalized estimate of your respective tax return preparation fees please complete the Application for Tax Preparation Services.
How does the tax return preparation process work?
A: All new / interested clients of Major CPA Tax & Accounting Services must first Apply for Tax Return Preparation Services to help determine whether Major CPA Tax & Accounting will be a suitable option for your tax needs. Upon accepted application, you will receive a link to activate your Major CPA client portal where you will submit all of your tax information as well as complete all other administrative / client onboarding tasks including and required retainers / service deposits. We will then draft returns and provide e-file consent documents to proceed with filing. Clients may also request a live review to discuss their tax return(s) and identity tax liability drivers, applicable potential tax savings opportunities, and answer any other administrative or technical questions.
What if I don’t have all of my tax documents?
A: Not having all tax documents will result in inaccurate tax returns being filed. If you have misplaced a tax document it is recommended that you either request a duplicate copy from the sender or alternatively request your tax transcripts from the IRS. Please note current (tax) year transcripts are typically not available from IRS until Summer usually resulting in your tax return(s) needing to be extended. I do not recommend attempting to file a return without all of the relevant information as this will cause processing delays, notices/letters of adjustment(s) from IRS, and/or requiring amending of return(s) all subject to additional fees.
Do I need to keep all of my receipts / Do you need all of my receipts to complete my tax return(s)?
A: In most cases, as long as expenses can be matched back to business bank account statements/transactions or other suitable accounting software/method I do not need individual / itemized receipts. It is a good practice however to keep your receipts in a safe place (especially the higher dollar amount expenses) in the event of an audit. In certain instances however receipts or other acceptable documentation may be requested to validated any given income and/or expenses item attempting to be claimed for tax return purposes. If you are having difficulty keeping up with your bookkeeping we recommend you read our Accounting Services FAQs and if interested in Apply for Accounting Services.
Can Major CPA Tax & Accounting services deduct tax preparation fees from my refund?
A: Yes, Major CPA Tax & Accounting Services does have the capability to automatically deduct preparation fees from your refund for certain clients. Please note however this NOT an option for all clients. In order to have fees automatically deducted; your anticipated refund must first be sufficient enough to cover the estimated preparation fees. You must also not have any balances with the IRS, child support, garnishment, or any other previous debt obligations. Taxpayers who have historically owed at tax time and/or taxpayers that anticipated refund is not sufficient to cover preparation fees are not eligible for this option. Preliminary due diligence is performed to help determine if a particular client will be eligible for this option. If determined to be ineligible for the service you must pay the initial tax return deposit online with the remaining balance due upon completion of tax preparation. No returns are submitted until all preparation fees are paid in full or alternative payment options have been agreed upon. Also please note there are additional fees applicable for having fees automatically deducted.
What if I do not meet the filing deadline?
A: Clients with activated Major CPA client portals will be sent several reminders as the tax deadline approaches to submit documents to meet the original due date. If documents are not received by the communicated due date Major CPA will automatically file a tax extension on your behalf. Please note that this extension grants additional time to file the tax return only NOT the due date for any applicable taxes owed. The due date for any applicable taxes owed can not be extended and will be subject to interest and penalties as of the original due date.
What documents do I need to provide to have my tax return(s) completed?
A: Upon scheduling your tax preparation service you will be sent a Tax Organizer within your Major CPA client portal. Based on the answers you provide within your organizer; you will be automatically provided a list of required documents. These documents may include (not limited to) W2s, 1099s, Rental Income/Loss Statements, Mortgage Interest Statements, etc. Be sure to complete the organizer completely and carefully to ensure the best accuracy in populating the list of required documents.