Q: I need help with my taxes. Who should I actually call?
A: It depends on what you need. Tax preparers, enrolled agents and certified public accountants who specialize in tax can provide many of the same services, but there are important differences in their credentials and areas of expertise.
Tax preparer: A broad category covering professionals who prepare and file tax returns, including those working for national tax preparation companies. For a relatively straightforward return, an experienced tax preparer may be all you need. Training and credentials can vary, so ask about the preparer’s experience.
Enrolled agent: A tax professional federally credentialed by the Internal Revenue Service. Enrolled agents specialize in taxation and can prepare returns, provide tax planning and have unlimited rights to represent taxpayers before the IRS, including in audits, collections and appeals.
CPA who specializes in tax: A state-licensed accounting professional who can prepare tax returns but may also help with the broader financial picture – including tax planning, business accounting, entity decisions, estate and gift tax matters and how financial decisions today could affect taxes later. Remember, not every certified public accountant specializes in tax.
For complex tax litigation or matters requiring legal advice, a tax attorney may be the right professional.
The bottom line: Don’t choose a tax professional just based on the initials after someone’s name. Start with what you need, then find someone whose credentials and experience match it.
Send questions about your taxes to Vincent Hicks, a CPA based in Cambridge who has more than 20 years of experience, at vincent@hickscpasolutions.com. You can call Hicks at (859) 553-0788.
