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How to Choose an IRS Tax Return Preparer – Part Two

April 23, 2026September 30, 2013 by Brotman Law

In addition, I wanted to discuss IRS tax return preparers that I will identify as “others.” This would include enrolled agents, bookkeepers, and national tax preparation chains. Let us be clear from the outset: I know several of these individuals who are excellent and who I would trust with my own return (if the need for someone else to prepare my return ever arose). These people often make a great living or have a decent side business from preparing returns and are quite knowledgeable. Experience is the number one thing to look for when choosing an IRS tax return preparer.

Key Takeaways

In addition, I wanted to discuss IRS tax return preparers that I will identify as “others.” This would include enrolled agents, bookkeepers, and national tax preparation chains.
However, I will say that many of these individuals do lack a formal tax education, which is something that I feel has been invaluable to my own tax return preparation practice.
To conclude, I want to give you an additional word of caution. Through my experience as an attorney, I have run into multiple instances of people who were victimized by unscrupulous tax preparers.

How to Choose an IRS Tax Return Preparer – Part One

April 23, 2026September 30, 2013 by Brotman Law

Introduction to Choosing a Tax Return Preparer

Tax return software, although extremely popular, is often only as smart as its user. I have amended numerous returns for individuals who have made serious errors using tax software. These have ranged from a family member missing out on a $2,000 refund due to sales tax deductions they did not report to a client who missed out on over $200,000 due to failing to properly account for net operating losses. It is important not to be pennywise and pound foolish. For anyone with more than a single W-2, who itemizes their deductions, has a Schedule C business, makes stock trades, or has had other complexities in the life that they may believe impacts their tax returns, please, please, please make the investment in order to have a professional tax return preparer prepare your taxes.

Key Takeaways

Tax return software, although extremely popular, is often only as smart as its user. I have amended numerous returns for individuals who have made serious errors using tax software.
With respect to tax return preparers, I also know that not every tax return preparer is created equal.
Also, just because someone is an accountant, does not mean they are qualified to prepare individual tax returns. I know high ranking, Big Four accounting firm partners who do not know the first thing about tax.

Tax Season Survival Tips

April 23, 2026September 29, 2013 by Brotman Law

Introduction

Every tax season, many fear the tax return preparation process. Preparing and filing your taxes can be complicated and costly; not to mention the impending fear of owing money to the government. Tax season should not be this stressful though. With a little advanced planning and by following a few simple tips, you can make tax season painless as possible. Here’s how to make it through your annual filing obligation and save yourself both time and money.

Key Takeaways

Every tax season, many fear the tax return preparation process. Preparing and filing your taxes can be complicated and costly; not to mention the impending fear of owing money to the government. Tax season should not be this stressful though.
I see more people get themselves into trouble with the IRS because they fail to plan ahead. W-2 employees will sometimes misstate their withholding allowance on their W-4 in order to have less taken out of their paychecks.
For many, the task of keeping track of receipts and proof of purchases is a hassle, but is ultimately the best way to ensure you are getting every dollar for deductions that you are entitled to.

IRS Allowable Living Expenses – Part Two

April 23, 2026September 29, 2013 by Brotman Law

Continued from IRS Allowable Living Expenses – Part One

IRS Allowable Living Expenses – Part One

April 23, 2026September 29, 2013 by Brotman Law

Although a favorite saying of IRS revenue officers is that “The IRS is not a bank” and the Service does take collection of taxes owed seriously, the IRS is prevented from collecting assets that a person needs to survive and meet their basic living requirements. The IRS calls these “Allowable Living Expenses” and they are excluded from the calculation that collection agents use to determine a taxpayer’s reasonable collection potential. Keep in mind that regardless of the size of the liability, whether one thousand or one million dollars, the IRS will always allow the taxpayer to keep enough cash to pay for their allowable living expenses.

Key Takeaways

Although a favorite saying of IRS revenue officers is that “The IRS is not a bank” and the Service does take collection of taxes owed seriously, the IRS is prevented from collecting assets that a person needs to survive and meet their basic living requirements.
So what does the IRS consider allowable living expenses? The IRS has developed a test called the necessary expense test to determine whether or not it will allow an expense to be included.
3. Other Conditional Expenses – expenses, which may not meet the necessary expense test, but may be allowable based on the circumstances of an individual case.

How to Deal with an IRS Bank Levy – Part Two

April 23, 2026September 29, 2013 by Brotman Law

Continued From How to Deal with an IRS Bank Levy – Part One

How to Deal With an IRS Bank Levy – Part One

April 23, 2026September 29, 2013 by Brotman Law

When you owe a balance due to the IRS and fail to resolve that balance in a timely manner through one of the approved resolution methods, the IRS takes increasing stern action to try and force compliance on your part. One of these avenues is though an IRS bank levy. An IRS levy is defined as “a legal seizure of your property to satisfy a tax debt.”[1] In the case of an IRS bank levy, the IRS takes money from your checking or savings account in order to satisfy your outstanding tax liability. Although the IRS is required to send notice of its intent to levy under statute, it usually does not tell you when it plans to seize money out of your checking account. Sometimes this puts taxpayers in a precarious position because they count on funds being in these accounts that are no longer available due to the IRS levy.

Key Takeaways

When you owe a balance due to the IRS and fail to resolve that balance in a timely manner through one of the approved resolution methods, the IRS takes increasing stern action to try and force compliance on your part.
The IRS bank levy process is initiated by a notice sent from the IRS to the bank that is holding your assets.

How to Choose an IRS Tax Return Preparer – Part One

April 23, 2026January 1, 1970 by Brotman Law

Introduction To Choosing A Tax Return Preparer

Key Takeaways

Tax return software, although extremely popular, is often only as smart as its user. I have amended numerous returns for individuals who have made serious errors using tax software.
With respect to tax return preparers, I also know that not every tax return preparer is created equal.
Also, just because someone is an accountant, does not mean they are qualified to prepare individual tax returns. I know high-ranking, Big Four accounting firm partners who do not know the first thing about tax.