Who’s doing your taxes, and are you choosing the right team of people you can trust? Outsourcing your taxes is a big decision. You’re trusting a third-party company with sensitive information about your business, and you want to be sure you’re choosing the right team of professionals. Sensitive information should always be protected and guarded with the highest level of caution. If that information ever fell into the wrong hands, who knows what havoc it could wreak on your business?
This is one of the many outsourcing dilemmas that companies have to deal with. The trust factor is crucial, and researching your choice of professionals is paramount to ensure this decision doesn’t go south. Accounting functions tend to take a back burner to other business needs, and if you’ve found yourself on more than one occasion scrambling to get your taxes done, you might have to consider outsourcing as a solution.
Outsource Your Taxes
The firm that you decide to work with will be your business partner for the tax period. Once you’ve decided to outsource your taxes, here are the three criteria that will act as the framework for choosing the correct, trustworthy team for your business:
Check if they have the relevant licenses
A trustworthy third-party outsourcing company should always have the relevant licenses and certification. This is one area you should double-check when conducting your background research into the company. The licenses and certification should meet all the industry standards and regulatory compliance requirements. The information should be readily available, and the company should be transparent about it, too. If the information doesn’t add up or the agency is reluctant to reveal information about their licenses and certification, that’s a red flag to watch out for.
Check the references
Tax preparation is generally handled by an accounting firm. If they have a history of doing great work in the past, references shouldn’t be too hard to come by. Part of your due diligence process is going to be sourcing the references prior to engaging the agency’s services. Avoid relying on Google reviews alone. You want to be sure your references are from credible and reliable sources. Most companies generally publish their list of clientele on their website, and you could easily ring up any of the companies and seek the feedback you need.
Ask if they would be willing to sign a non-disclosure agreement
A company that’s transparent and honest in its business dealings won’t have any trouble signing a non-disclosure agreement. A non-disclosure agreement gives you peace of mind that your confidential and sensitive information isn’t going to be misused.
Final Words
Due diligence is always going to be your best defense against choosing the wrong team to work with. At the end of the day, the pros of outsourcing your tax preparation definitely outweigh the cons. A professional company like Taxfyle handles everything, from the simplest to the most complex form of tax returns. The unbeatable prices are a bonus, and in the long run, outsourcing your tax preparation is going to save your business more money in the end.
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