Businesses of all sizes benefit from using financial and tax advisors in the upcoming tax season, but many new business owners don’t yet understand how to get started finding one. The first thing to understand is that businesses need the specialized help of a CPA Firm in Palm Springs CA, not just a regular accountant.
What’s the Difference?
The term accountant refers to the broader category of financial and tax professionals following the GAAP rules and standards designed by the Financial Accounting Standards Board. While CPAs are accountants, these professionals have also passed licensing examinations in the states they work in. While an individual or a very small business may be able to get away with hiring an ordinary accountant, most businesses should really consider hiring a licensed CPA.
Why is it so Important to Hire a CPA?
CPAs must keep their knowledge of local and federal tax laws current to maintain their licenses and must undergo continuing education. This gives them an edge over unlicensed accountants who may not always be up-to-date on their knowledge of applicable laws and standards. Filing taxes and understanding financial records for businesses are more complex than individual tax filing, so it’s essential to hire a professional who is guaranteed to have an in-depth understanding of this process.
What Else Can a CPA Do?
A CPA Firm in Palm Springs CA is capable of doing more than just helping businesses to file their taxes. They can also perform financial analyses and offer their clients valuable financial advice. Plus, in the event of an IRS audit, only a CPA will be eligible to represent his or her clients.
The Bottom Line
Accountants can do routine work, and they are usually capable of filing individual tax returns. CPAs, on the other hand, can also analyze finances and represent clients during tax audits. The advice of a CPA can be invaluable to businesses looking to make high-level financial and tax decisions.
Get Help Now
Just like accountants, different CPA firms also offer different levels of service. It’s always best to find a firm that keeps both bookkeepers and accountants on staff. Visit Us online for more information about one comprehensive firm today.
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