Are You Ready?
Published on January 7, 2006 By KFC Kickin For Christ In Current Events
Well it's here. Tax time. At least for me and countless others that make their living doing what the government requires.......paying up!!! And pay up we do. Yep, death and taxes....a sure thing. Imagine not having this to look forward to?. We'd be alive forever and rich!! Can't have that. Who'd pay the undertaker and the IRS.?......... not to mention I'd be out of a job.

I have been working in a CPA office since 1990 when my youngest went to kindergarten.. It's a business my husband and I started. He's the CPA, and I do all the secretarial and general office work. I tried to retire (even tho I'm much too young for that stuff) when he sold the business, but the new bosses called me back when the girl I hired to take my place quit last summer. I had been working on-call just to keep my fingers in it just in case this girl got pregnant. Well she didn't. She moved to Virginia. Imagine that. Trading the cold winters for a nice temporate state. It should've been me. I crave warmth.

So now here I am with three bosses instead of one. It took the three of them to take the place of just one. We had over 500 clients when my hubby sold the business. At the end he did have to hire another staff accountant to help him do the easy 1040s and payroll stuff. It has grown since we sold it three years ago, and I find myself very busy.

Working this time of year in a tax office is an experience. We start gearing up in November and December. This means we order our suppplies, clean up the last of the extension leftovers, start formulating plans that may help us to be better prepared and organized for the coming tax year. The UPS and FED EX guys start making their deliveries more frequently during this time. And I have noticed they are always guys. Never seen a UPS delivery girl. Why is that?

As soon as Jan 1st hits, we start preparing the 1099's and W2's for the businesses we do. We need to get right on this before the first tax return comes in. These need to be over and done with so as not to get behind too quickly. That's what I'm working on now. And I'm fairly confident I'm in good shape right now. It's a good feeling. Being one step ahead is very cathardic.

Just around the time the last of the W2's are picked up, the tax returns start coming in. It starts as a trickle, gradually becomes a flowing river and before April 15th gets here becomes a downright flood. We are usually drowning by mid March in 1040's, 1040X's, 1120's, 1120S's, 1065's, Schedule A,B,C,D,E, K-1's, and many, many forms from which to choose from. You need it? We have it!! It's a bonding experience. it's like going thru a war every Jan-April. We come out very battered by the end. We all look very worse for the wear and sleep for days after the 15th which just so happens to be the 18th this year......eeeewwwww!!!

The hours gradually start increasing usually starting the end of January. For the accountants, by the end of tax season 80-90 hours a week is not unusual. I'll leave most nights by 5-6 pm and know they will most likely be calling it a night anywhere from 9-11 pm. Last year these guys were working as late as 2 am by the end and coming in at 8 or 9. am. I have no idea how they can do this.. My husband always made sure he was home by 11 pm no matter what. But there is some sort of adrenaline push that comes into play during this time.

Of course these late night sessions mean only one thing to me. It means I will have a pile of files and tasks to be completed for my end of it in the am. I can usually tell what kind of night it was by looking at my desk in the morning. They are very happy, too happy if you ask me, to release these files into my possession. I get the daunting task after finishing my end of the bargain to call the owners of said tax returns. Of course the question most frequently asked is...."How bad is the damage?" The good thing is I usually am not the one to tell the client he owes $62,000 in taxes. But I have been on the end of a phone call wondering if the client had stopped breathing when I delivered the unexpected news. While we have had some clients die over the years, none have as a result of any bad news delivered by us. Thank goodness.

I love to call and tell someone they are going to be getting some unexpected large sum from the government. I think it's the easiest way to have a bonding experience over the phone. I've been told many times that I'm loved. What's not to like here?

Of course if you are expecting to pay out......there's always the extension option. There's even two to pick from. Just try to send a check along with it if you're able.........just to cut down on the interest. Sooner or later it's gotta be paid.

So pull out the 2005 tax records and get busy. The earlier you call your accountant the happier you'll make him.






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Comments
on Jan 07, 2006
My mother-in-law is an accountant, and she is always SO busy this time of year!

We always have her do our taxes, even though ours is simple enough that I could probably do it myself. We're fortunate enough that our income is sufficient to live well on, but low enough according to Uncle Sam that we get a rebate. Hehe.

Good luck with your busy season!
on Jan 07, 2006
Thanks,

Sounds like you're in a comfort zone there. A good place to be.

Ours is so complicated right now, and at this point especially I'm glad my hubby is a CPA. If we had to pay out we're looking at somewhere over $800 to do it.

I too used to do my own until I got married. But I'm sure if push came to shove again, I could dope it out considering I live and breath this stuff from Jan-April.

on Jan 07, 2006
half of that post was gibberish to me......
good luck.
on Jan 07, 2006
That's cuz.......you only make play money so far.

But you wait.....your time's a coming.

By then I hope I'll be simplifying big time!!!
on Jan 08, 2006

What is the difference between a CPA and a computer?  The computer has more personality!

JUST KIDDING!

I use to do that stuff (taxes), altho I was not a CPA.  We had rental property back then, and I did got to a CPA.  Saw what he did, and saved myself the $400 from then on!  I did the taxes for my cousins, until one got into 6 figures (figured he needed a real professional) and the other started his own business (a PLLC).  Still do it for some friends, but theirs is rarely more than an A and B form.  I know Silver and Jade Tears use to work for CPAs (she changed jobs this year), so I know it is a bear!

Best of luck getting through the season.  I dont think your bosses want to hear this, but - FLAT TAX!

There!  Now I feel better!

on Jan 08, 2006
What is the difference between a CPA and a computer? The computer has more personality!


hahahahahahahah........it took me a while.......

It's usually not a good idea to do taxes when they get too complicated especially for others, cuz usually if you don't keep up with the changes you eventually will be missing something. We've done alot of back taxes for people that had their brother in law's sister's uncle do them or the teacher who does on the side. It's ok if it's not a business and fairly simple, but if you have a business usually a good CPA can save you so much money in the long run. The funny thing is most people think they are saving money when they in fact are losing much and the IRS is not going to tell you. They are not your friend.

But if your situation stays fairly the same year to year you can copy the taxes f(for the most part) from the year before and check with the IRS to see if there's any substantial changes to your particular situation......that is if you can get through.

Another thought......you do not want to be responsibile nowadays for somebody and have them come back to you for the money they lost cuz you figured something in error. I'm sure you don't have liability insurance.

on Jan 08, 2006
KFC:
Sounds like you're in a comfort zone there. A good place to be.


Well, we're really lucky. My husband's a service member, and only his base pay is taxed, hehe. It makes it look (to the IRS) like we make a lot less than we do.

But I'm not complaining!

Ours is so complicated right now, and at this point especially I'm glad my hubby is a CPA. If we had to pay out we're looking at somewhere over $800 to do it.


Yikes!!

I too used to do my own until I got married. But I'm sure if push came to shove again, I could dope it out considering I live and breath this stuff from Jan-April.


Some of that is sooo complicated. I'm very impressed with my mother-in-law. She's very analytical and math-minded, which I'm totally not. And the stress! Gah! But she thrives on it.
on Jan 09, 2006

Another thought......you do not want to be responsibile nowadays for somebody and have them come back to you for the money they lost cuz you figured something in error. I'm sure you don't have liability insurance.

I dont charge them, so I doubt they would even if they could. But I do use Turbo Tax. If my taxes were real complicated, I would think of using a CPA, again so I could learn from what they do. But if someone has some funky stuff, I tell them to go to a CPA instead of me, as the will probably get the cost back with the extra savings in taxes.

on Jan 09, 2006
But if someone has some funky stuff, I tell them to go to a CPA instead of me, as the will probably get the cost back with the extra savings in taxes.


Ya, that quite often is the case. We've had who knows how many trying to save a dollar and spending hundreds literally by doing so.

Sometimes people are afraid to take deductions because they don't want to send up red flags. An audit is similar to a plague. You don't want it, you do everything to avoid it but once it comes........you sweat buckets.

But we tell people....it's okay to be a pig.....just don't be a hog.



on Jan 09, 2006

An audit is similar to a plague. You don't want it, you do everything to avoid it but once it comes........you sweat buckets.

I have had 2.  came through fine both times,and actually one time, got more back! (That was when I could not decide where to declare some Interest income, 1040 or Sched C.  I did C, they questioned that, I moved it to the 1040, and got about $15 back!  )