Do it your selfers

[veritas]

You know the type. They have a business and expect to be paid for their services/products but you the tax preparer have no value.

Why anybody with a computer can do their own. Like the individual who prepared their own return and deducted $24,000 for a suv purchased in 2004. Their it is right their on the 2106 and it's even in some nice supporting documents attached to the return.

Oops did not elect 179 on the return. To bad so sad. No deduction.

Byard v. Commissioner, T.C. Summary 2007-120

[Luis Mopeo]

I get aggravated with some of the advertising of the do-it-yourself software programs. They make it sound as if you can answer a few "Yes" or "No" questions, and your accurate tax return will spit out from your printer. It's frustrating, but I don't so much blame the consumers. They've been misled.

[veritas]

Here's some good advice

"A Man's Got to Know His Limitations" -- Harry Callahan

[Gary]

Who

Whi is Harry Callahan?

[jimmcg]

The man who packed the 44 magnum.

[S T]

As In

Clint Eastwood playing "Dirty Harry"

S

[LTS]

i think

he also said - 'do you feel lucky punk? did i shoot 6 or 5 times?'

punk was not lucky - it was 5.

[JAinNC]

Highly intelligent people

.. can screw up a self prepared return in a heartbeat. I have amended several after they get a letter because the return showed double the tax withheld from the w-2s. The whole thing was really bad. Letter said 8000.+ was due IRS.
Before responsing they decided to call a professional just in case. I got a POA called IRS for another 15 days, admended the federal and state.
They only owed IRS 2800, and had an additional frefund due them from state for 600+.
They wanted to do their own because they had been going to a local preparer who had 80% of his clients audited.

This couple went through a popular on-line program and even paid and additional 29.95 for the "Checking for accuracy service".


I could not resist asking them if they held their w-2s and 1099R and all other documents on the computer monitor so the program could look at there info. I amended the prior year also. They owed more for that year, but I have gained a good client and their trust

I am sure there are many who would have just made an installment agreement or who pay the amount IRS says is due because they don't want anyone to know they may have made a mistake.

Some people are not meant to self prepare.

[Davc]

If the "checking for accuracy service" is like the check of PR reports in QB, It only makes certain that required fields are filled.

I had a pharmacist who had done their return on TT the year before and when I asked him why the IRA distribution was not taxable his reply was, "That's where TT put it."

[sea-tax]

I here ya Veritas, It can be very frustrating when someone minimize what you do for a living. Unfortunately I think that TT and QB and other do it yourself programs are becoming more prevalent.
This is why years ago I started to differentiate my practice by offering insurance and securities work. This way I can show the client that I am much more than a tax preparer. I am more like a financial health specialist. My goal is that overtime all clients that I do tax work for will also be either a financial planning client, insurance client or bookkeeping client. Currently I don't even actively look for clients who just want me to do the taxes. I try to get them to buy the whole package so to speak. I think when you provide the client with the whole package you will find they are less likely to leave.

[BP.]

They make it sound as if you can answer a few "Yes" or "No" questions, and your accurate tax return will spit out from your printer.

Yeah, the software gets ITS questions answered. But, don't most taxpayers have some questions of their own? How will they get them answered?

[DaveO]

I had an audit for a do-it-yourselfer

They claimed a sales tax deduction on "A" of $47,000 when AGI was only $42,000. They have no idea how that happened. What do you suppose triggered the audit?

[Joe Btfsplk]

Do it yourself

A lot of people can do their own returns, but not everyone. I've seen some self-prepared returns that must have taken many hours to do, but were done correctly. Some of these decided to let me do them after deciding that it wasn't worth the time they took looking up everything, even if they finally managed to do it.

It is a lot like changing your own oil in your car or repairing your car's engine or installing a new water heater. Even if you are able to do it, is it worth it?

If all you have is a few itemized deductions and a W-2 or two, then you should be able to prepare your own return. Otherwise, it probably isn't worth it.

[JAinNC]

Some people do not trust anyone to see their finacial information. This set of people spend months doing their own taxes. I have had phone calls in April or more often in October asking me to help them figure out how to handle their TTPP (Tobacco Transition Payment Program) for installment sale treatment) I tell them they can make an appointment and come in with their paper work and I'll assist them with their entire return for a fee.
A few have said that they will pay for a worksheet or me to teach them how to do it -- BUT they don't let other people see their info.

I don't even take the time to ask these people if they have any bank accounts? - somebody already knows about their financial situation.

Well - that's what makes life interesting .... differences in people.

[Luis Mopeo]

I could not resist asking them if they held their w-2s and 1099R and all other documents on the computer monitor so the program could look at there info.

Haaaaaa!

Somebody made the auto repair analogy. I tell folks that I've watched mechanics replace my brake pads and I could probably take the brakes apart myself and might be able to get them back together, but chances are pretty good I'd screw something up. I'm the guy who'd have one bolt left over and sneak it into the garbage. I'd also drive scared until either my car crashed or I had to get new brake pads again and hired a pro. Life's too short, and doing dangerous stuff like fixing your brakes or doing your own tax return isn't worth it.