When the tax deadlines loom every year, Canadians are busy looking for a tax accountant in order to help reduce their tax load. Certain legislative changes in the past few years have allowed a specialized tax accountant to be more involved with CRA tax troubles. Knowledge and expertise of a specialized tax accountant comes in handy when there is a dispute with the CRA concerning tax assessment.
A tax accountant is bound by a code of ethics in his or her profession. Constrained by law to disclose confidential information regarding a client, the tax accountant will not disclose clients information to any third party without written consent from clients.
Canadians require the services of a tax accountant when the CRA starts to challenge them with taxes problems. It is not easy to fight your own battles when it comes to negotiation and settlement of taxes. If you run a small business operation, the services of a good tax accountant will be invaluable. He or she will be able to help you find a way through the labyrinth of tax rules and provide the financial guidance that you require to manage your small business operations. A reliable accounting firm will not only handle audits and settlement of taxes for you but it will also keep you apprised of all the latest changes or developments in tax laws.
How do you go about finding a reliable tax accountant?
All business entrepreneurs can begin by asking their business associates about good accounting firms. It is crucial that you select a tax accountant who is familiar with your business requirements and your tax situation. For example, if your business is software or internet related, then you will have to seek accounting firms who are familiar with software skills and fluent in the language of e-commerce. If you are an exporting firm, then the accountants have to be conversant with all export laws and strategies.
It is not easy to be conversant with all laws pertaining to the filing of your taxes, even in a self reporting system of taxes. A good Tax accountant will be able to help in performing due diligence and in the correct filing of taxes. CRA cannot be given the excuse about ignorance of laws for not filing the taxes or filing them incorrectly.
CRA expects all taxpayers to be aware of the tax filing deadlines so that they can file on time. The accounting firm will be able to prepare and take care of prompt filing. A tax accountant will also keep a taxpayer informed about several credits that are available to the individuals. These credits can be claimed on the T1 Personal Income Tax Returns Forms. The credits help in the reduction of the final tax figure that is due to the CRA. There is a tendency among taxpayers to under claim some Tax Credits that are most challenged by the CRA as some accountants may not be asking the right questions and thus the chance of being denied the tax credits by the CRA increases.