raymondsfamily
offlineMember
Hi - has anyone thought about doing taxes or even business consulting from the vantage point of accountant/CPA in the near future (not as a full-time profession)? I do have my MBA and am not totally put off about going back for a MPAcc, etc. but am not sure what would really solidify someone venturing into this new territory.
What is everyone's goal after getting the CPA done?
chris5221
offlineMember
Just FYI...Not sure about your State, but in Tennessee if a CPA prepares one paid tax return or any other paid service and signs it as a CPA they must register as a CPA firm and pay for an annual license. I have thought about trying to do some tax returns on the side, but always just do a few for free because of this rule. Also, in the State of Tennessee an individual that is not a CPA can not use Accounting in a business name. So, Joe Blow Accounting and Consulting Services would be an illegal business name unless Joe Blow is a CPA. Your State may be different, but I would do some research.
jamesjohnson11
offlineMember
My teacher gave me a great line once if someone close to you asks for accounting advice or for you to do their taxes. He said to say these exact words, "Im sorry i don't have time to do it but I'll give you the money and you can go to someone else." lol he said he's used it before and not one person has said ok give me the money, they are more often embarrassed at trying to get your services for free.
He also always told us "Everyone must pay." Lol he was a great guy.
jelly
offlineMember
I did some very simple accounting and tax work for a small non-profit, and I added one more during the year, and someone asked me to do some work for their organization starting next year. I made no $ at the first place and it's still the case, but I've been able to meet a lot of people so it's been a good networking tool as the non-profit world can be small in certain genres. I would say I cut my teeth in the first place, which has encountered a lot of compliance issues that the other subsequent 2 places haven't. I earn "extra bar $ and student loan $" from the later 2 places, and have also gotten referrals to other small companies - non-profit and for-profit - through these 2.
It's been about the same w/ the for-profit side - I've been helping out a friend, and he's psyched about paying me; he forwarded my name to someone starting a small business. Another friend would like me to do some research for him, which may or may not turn into anything, but will be a good research project.
I only incorporated recently b/c the $ I make is not a lot, but substantial enough to become a personal income tax issue, a worker classification flag, and a professional liability problem. It's been a slow-go that I never thought would amount to anything, but I now have a fair amount of compliance and operations experience for small companies, I'm making some $, I own my own business, and work comes to me more often than me seeking it out.
CannotPassAgain
offlineMember
How much experience in taxes would you say you need before you can venture off and do your own thing, whether it's on the side while you still hold your FT position or if you're doing the taxes FT?
What ARE the liability issues? What if you say, don't have much experience with C-corps and end up messing up their tax return? Could you lose your CPA license? Or would the IRS ultimately hold the taxpayer at fault because he's the one who in the end reviews and signs the tax return?
jamesjohnson11
offlineMember
I have a question. If people you know approach you to do their tax returns, do you prepare them in turbo tax or on paper or in some other program? If just a few close relatives want their taxes done, do you have to splurge to get some legit tax software or is there another way you can do it?
See Pee A
offlineMember
At OP, depends on what you want to do with your CPA. If you're in public accounting, be careful, there are some clauses in your employment contract that may prevent you from doing proprietary work that exceeds a certain $ amount or is of a certain nature. On the positive side, if you are familiar with taxes enough to do some simpler returns, then it could be a nice extra few hundred (or maybe more) of cash for not a ton of work. Of course you'll report it on your 1040 :)
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