Tax season is here and it can be a stressful time for some people. Some choose to brave the waters and handle their taxes themselves. Others rely on a trusted person to organize every financial commitment they’ve made over the past year. If you want to save the trouble of paying someone to do your taxes, doing them yourself can be pretty simple with software like TurboTax. There are, however, some challenges you’ll probably face.
A chartered accountant can definitely save you the trouble of figuring out which tax deductions to take advantage of and the amount of money you’ve paid the government. A lot of things can add up over the course of the year and it’s important you or someone else keep track of your finances.
HSM Chartered Professional Accountants provides excellent detailed accounting services in Markham. We value client relationships and successful partnerships that lead to financial success. We want to empower our clients to better secure their financial future and will pay close attention to each of their specific needs.
Let’s go over how you should approach this tax season; either on your own or with the help of an accountant.
THE CASE FOR FILING YOUR OWN TAXES
When filing your own taxes, you have the agency and control to keep track of all your expenses and the money you’ve received over the past year. This is pretty ideal for anyone that’s freelancing or self-employed. Paying someone to parse through your personal or professional finances can be daunting, especially if it’s someone you don’t know well.
Using something like TurboTax can be easy and it won’t cost as much as the services of an accountant. Plus, you’d also be solely responsible for everything you owe the government. While the advantages of this method can be great for some, it can still be overwhelming for others.
THE DISADVANTAGES
The disadvantages of doing your own taxes lie largely on the complexity of your financial situation. It’s easy to miss out on money-saving tax credits and deductible income because of how often the rules change. Moreover, categorizing information such as HST collected, cost of sales, and miscellaneous expenses can be difficult to organize because of how much is accumulated.
What you claim can also depend if you are married, bought a home, or had children. Other things to consider also include medical expenses, tuition and transportation credits, union dues among others. All of these things add up and can be a hassle to organize, evaluate, and file. If you do choose to file your own taxes, be confident in your ability to be responsible for yourself and the people you support.
HIRING AN ACCOUNTANT
A good accountant will provide a detailed breakdown of all your taxes and can help you deal with the dirty work. They’ll save you time on your tax filing, so long as you have every receipt, invoice, or statement available from the past year. Although they may deal with other clients (especially during tax season), you still have the potential to build a good relationship with them.
Accountants are knowledgeable in the field they work in and can assist you in claiming expenses and credits you might have missed, as well as educate you on how to better keep track of your financial information.
Some people may balk at the prices of some CPAs, but you’d be paying a premium to help save your money in the future. Additionally, your financial information would be kept confidential and safe, so you should never worry about compromising yourself.
THE NEXT STEPS
It’s ultimately up to you whether you want to be in charge of your own taxes or have someone handle it for you. Accountants will guide you through the tax season and minimize any difficulties in organizing any potential expenses and credits.
HSM Chartered Professional Accountants is one service you can rely on to help you with your taxes. We’re the top accounting service in Markham with a dedicated team of chartered professional accountants. Visit our main website for more information or call us at 905-470-7090.
