Is it equitable that while large corporations can afford to hire savvy planners to help reduce their tax bill, smaller enterprises end up paying proportionally far more than they should? The practical difference is the ability of the larger enterprises to use legal technicalities & interpretations to their advantage, as opposed to the probability that the small business simply follows the black letter of the tax rules and regulations.
At the heart of this situation is the reluctance of many accountants to be real tax advisers and to help small businesses arrange their operations to best take advantage of strategies that would result in a lower tax bill. Many accountants simply take the raw numbers from their clients and enter them into a tax preparation program. No real planning or review process – just in and out.
Accounting and tax professionals hired by small businesses may argue that among their top priorities is providing their services at a rate that their clients can afford. They believe that engaging in true strategic tax planning would produce a sizable bill that their customers did not intend to incur.
There may be some truth to the notion that certain small businesses are interested in securing simple tax compliance at the lowest possible fee. It seems logical that increasing numbers of such entrepreneurs would realize that by paying slightly higher professional fees upfront, they may realize tax savings that would far outweigh the initial expenditure.
Ultimately, entrepreneurs must realize that a positive balance sheet is a real objective and that remitting more money in taxes than they need to is counterproductive. Business owners need to guard against relying on inadequate tax advice simply out of habit or irrational resistance to paying slightly higher professional fees.
Syriac CPA Tax & Accounting Services offers the best accounting and bookkeeping services in California, assisting individuals and organizations in various industries and stages of development. We are the most effective Tax Consulting Cerritos firm. Individuals & organizations of all sizes can pick from a variety of services.
Accountant and bookkeeping, business consulting, personal and corporate taxation, and a variety of other services are included. Syriac CPA Tax & Accounting Services has over 20 years of expertise and pure skill in streamlining procedures and saving large sums of money for a wide range of businesses. For a free consultation, contact Syriac CPA Tax & Accounting at 1 (818) 960-9758.
