What is the tax agent doing?

The term "tax agent" may apply to two different professions, both tax -related. In a sense, it is a person who represents the government in investigation and collection to ensure that citizens and businesses pay their taxes. The second meaning concerns a person who prepares taxes on behalf of someone else and offers professional assistance to people and companies who cannot or do not want to prepare their taxes themselves. This article focuses on professional tax preparations rather than government employees. In most places, tax agents must be certified by a government agency responsible for taxation. This is designed to prevent cases where people represent as tax agents and either do not have taxes correctly because they do not know how or use their approach to personal data for fraud. People looking for a tax agent can apply for a person's qualifications, including a government practice. Many of them belong to professional organizations with their own certification programs and can use terms such as“Tax Practice” or “Tax Preparation”. In some cases, people are allowed to use a professional title only if they are properly qualified, and people can report fraudulent use of professional data of the parent organization.

The tax agent will ask clients to collect all their financial documentation, including income and expenditure records. Many cooperate with their clients to point out the areas of tax returns, and ask a number of questions to see if someone qualifies specific tax loans, deductions and other benefits. Especially for people who are not familiar with the Tax Act, it may be a valuable service because they can learn about the readable savings such as lessons for teaching, some housing expenses and other matters, depending on the country and the tax year.

Once the tax agent is sure to have a complete picture of the client's financethat using the tax return using this information. It confirms that the information is correct and calculates the total tax liability and a payable tax or refund. Most of them prepare federal and regional taxes simultaneously and duplicate information on both sets of forms. Once all forms are completed, the tax agent signs and sends them, often electronically for speed.