Tax planning services should be mandatory for your business or personal finances. This enables you to take into account the amount that has to be paid and when it should be paid. Getting the right tax consultant, therefore, has a critical role in ensuring you meet your tax obligations. Below are several reasons why it is important to use the services of an independent tax planner.
Personal interests are not involved
The tax paid reduces the total profit generated by your business, and this reduces the return that is payable to the shareholders and the employees. As such, when you request for tax planning services from your accountants, they can issue a lower tax quotation since it affects their income. This situation does not arise when you seek the services of an independent tax planning consultant. Since that is their sole responsibility, they have no personal interests relating to your business or personal finances. They will, therefore, provide you with accurate information, relating to the amount of tax due and the penalties in case you fail to make these payments.
You can vet the qualifications of the service providers
Many people rely on their accountants to offer tax planning advice without bothering to find out whether they have experience in this field. Just because someone prepares your accounting books does not make them an expert in taxation. However, when you deal with independent tax planning consultants, you can access information relating to the professional and academic qualifications of these experts. This helps you to select the best consultant to offer this service.
Gives your business a competitive advantage
It is advisable to get tax planning services from consultants who have experience in the area. Such firms have built a reputation over time, and this has enabled them to build a solid reputation. When engaging in certain contracts, you have to present proof of your tax compliance. As long as reputable tax consultants sign the tax compliance report, your business has a competitive advantage over other companies.
It is wrong to assume that one individual can offer all the financial advice you need. Just because another consultant has been able to successfully manage your investments does not mean that they can assist you in tax planning. Make sure that you specifically state that you need tax planning services when you are seeking a tax consultant. This will enable you to reduce your tax burden and comply with regulations relating to the payment of tax.
Share22 January 2018
When I first took over the admin of the company, the records were a mess. I got them mainly sorted out. Then last year my worst nightmare came true, and we got a back audit on taxes from before my time. It was a lot of work, but luckily we have a great accountant who helped us to sort out all of our records and get through the audit. Now we have a bit of tax to pay back, but I know our records are in better order, and if we get audited again, we'll be fine. This blog is all about tax services and auditing.