Tax savings are on all our minds, whatever type of business we’re involved in, and making them is made more achievable with some advanced planning, a lot of expertise and some specialized, up to date knowledge. However, the average business owner doesn’t have those attributes, so it makes sense to work with someone who does; an EA, or enrolled agent.
What is an enrolled agent?
Authorized by the U.S. Department of the Treasury to represent taxpayers in the case of IRS audits, collections and appeals, EA’s are enrolled agents who focus predominantly on preparing taxes; many EA’s specialize in tax resolution.
What do enrolled agents do?
Whether you’re running a partnership, corporation, estate trust or any entity that’s required to report its taxes, an EA can advise and represent you in front of the IRS, and help you to prepare your tax return and take advantage of any savings that might be applicable. They must not only be tested by the IRS before qualifying as an enrolled agent, but must complete at least 72 hours of continuing education every three years.
Under what circumstances might an EA be able to help you?
Choose to seek help from an EA if any of the following circumstances apply to you:
You have out-of-state returns
If you need to file taxes in more than one state, and if you go on to require representation before that state in an audit or resolution case, you can hire the same EA to help you with both.
If you have an IRS dispute you need to resolve
EA’s are generally cheaper than taxation attorneys when it comes to pursuing a civil resolution case, and their law expertise can help in tax proceedings, audit hearings and appeals.
An EA will ensure that when you’re dealing with the IRS, you’re treated appropriately, understand the proceedings, and that the IRS are following the laws put in place to protect taxpayers. They’ll also help you devise the best payment plan for your circumstances.
How an EA can help you with tax strategies for your business:
Well versed in the latest tax legislation and having completed many years of training to get where they are, EA’s are best placed to help you create a comprehensive and effective tax strategy for your business. They’ll help to make sure that you never pay more than you’re legally required to, no matter the size or nature of your business.
If saving money on your taxes is your priority – and if it isn’t, why isn’t it? – you should consider seeking professional help from an EA; you just might be surprised at how affordable they are in relation to how much money they can save you in the long run. With their specialized knowledge of many industries, they’ll help you take legal advantage of certain tax credits and limit your tax burden as your business grows.