David1961
Thinks s/he gets paid by the post
- Joined
- Jul 26, 2007
- Messages
- 1,085
I have several questions and a little story. I'll start by asking the basic questions I have, then for those who want more background, I'll write the story.
Questions:
1. When you pay someone (a professional accountant) to fill out your tax forms, do they look for ways to save you money, or do they just basically complete the forms?
2. Do these businesses use a software program like Turbo Tax?
3. Do most businesses consider the "Qualified Dividends and Capital Gain Tax Worksheet"? - was on page 41 of 2012 instruction book
4. For ERs, do you find it is easier and/or more accurate to fill out the tax forms yourself OR pay someone to do it for you?
Here's the story. I ERd last year and called up my accountant this week and discussed the estimated taxes I should pay each quarter for 2013. Over the phone, it sounded like she was number crunching the changes on my tax return from last year (when I worked) and this upcoming year 2013 (when I will be retired). My estimated payments (she said) should be very similar to those when I worked last year. (A reason was that I had more withheld from my paycheck and did not pay much estimated taxes last year). I heard from someone on this site about the table on pg 41 of the 2012 1040 instructions. I filled out that worksheet and came up with a tax total that is about one-third less than what my accountant told me. I did not notice this until I got off the phone with her. I don't want to sound like I know more than her, but if I'm right, I'd like to know why our estimates are so far off. And if this business does not consider this worksheet, why should I give them my business next year? But maybe she just uses a standard software package and maybe this information is not in there - I don't know.
If anyone knows of a good accounting/tax business in the Baltimore / Washington DC area that helps early retirees take advantage of all tax breaks they are entitled to, I'm open to referrals. But right now, I'm trying to make sense of all this. I apologize if this post is fragmented and is not written the best way, but hopefully, you understand my concerns.
Questions:
1. When you pay someone (a professional accountant) to fill out your tax forms, do they look for ways to save you money, or do they just basically complete the forms?
2. Do these businesses use a software program like Turbo Tax?
3. Do most businesses consider the "Qualified Dividends and Capital Gain Tax Worksheet"? - was on page 41 of 2012 instruction book
4. For ERs, do you find it is easier and/or more accurate to fill out the tax forms yourself OR pay someone to do it for you?
Here's the story. I ERd last year and called up my accountant this week and discussed the estimated taxes I should pay each quarter for 2013. Over the phone, it sounded like she was number crunching the changes on my tax return from last year (when I worked) and this upcoming year 2013 (when I will be retired). My estimated payments (she said) should be very similar to those when I worked last year. (A reason was that I had more withheld from my paycheck and did not pay much estimated taxes last year). I heard from someone on this site about the table on pg 41 of the 2012 1040 instructions. I filled out that worksheet and came up with a tax total that is about one-third less than what my accountant told me. I did not notice this until I got off the phone with her. I don't want to sound like I know more than her, but if I'm right, I'd like to know why our estimates are so far off. And if this business does not consider this worksheet, why should I give them my business next year? But maybe she just uses a standard software package and maybe this information is not in there - I don't know.
If anyone knows of a good accounting/tax business in the Baltimore / Washington DC area that helps early retirees take advantage of all tax breaks they are entitled to, I'm open to referrals. But right now, I'm trying to make sense of all this. I apologize if this post is fragmented and is not written the best way, but hopefully, you understand my concerns.