Outsourced Tax Preparation Services for CPA Firms, EAs and Tax Firms

Outsourced Tax Preparation Services for CPA Firms, Authorised Tax Agents & SMEs

Dealing with busy tax season is one of the major concerns for most of the CPA firms and accounting firms. They struggle with time constraints to cope up with deadlines and facing the issue of lower utilization of resources during offseason.

Bi-Outsource’s CPA Tax preparation services help CPA firms, Tax firms, and SMEs to deal with busy tax season and outsource their workload. Being your trusted outsource tax partner, our expert tax team manages tax preparation work with quick turnaround time. We assist you in federal and state tax preparation, processing and submitting returns to the revenue authority.

Why use Outsourced Tax Preparation Services

By outsourcing tax return preparation during condensed tax season, CPA & Accounting firms can be benefited in the following ways;

  • Increase tax return preparation turnaround time by more than 50%
  • Allow Accounting & CPA firms to focus on high value-added services such as Tax Planning and Advisory services which are more lucrative.
  • Increase recovery rate (i.e. Revenue/Employment cost of full-time employees) by avoiding hiring tax professional during busy tax season who remains more or less ideal during offseason.
  • Experienced outsourcing partners like Bi-Outsource not only prepare returns but also standardize and streamline workflow e.g. organizing work papers and supporting documents in digital folders so that it can be traced easily in the future.
  • In nutshell, Accounting & CPA firms can offer better client service and increase efficiency with lower staff cost which ultimately increases a firm’s profitability.

Our CPA Tax Preparation Outsourcing Process

We start with receiving all the information, documents, current year’s tax organizers and financial statements from the client via a secured file sharing portal. On receiving information, we first check the previous year’s return (if any) to re-confirm on completeness of the information and take note of carrying forward balances if any. Before start entering data into the tax software, we analyze and double-check the balance sheet, profit & loss statement and other relevant data received from the client for 3C’s i.e. Correctness, Consistency & Completeness so that apparent mismatch can be identified and corrected before commencing return preparation process. After satisfying on the accuracy of the details received we login into the client’s system and tax software and then give a treatment of all items into the tax software including deductions, credits, carry forward balances etc. Lastly, we submit Tax Return and Computation’s PDF files to clients for their review with our comments, observation and queries. Upon receiving confirmation from the client, we make all required corrections and then the return is filed.

We provide CPA Tax Preparation Outsourcing Services for the Following:

  • Individual: Form 1040, Form 1040NR, Form 1040A and Form 1040EZ
  • Partnership: Form No. 1065
  • Corporation: Form 1120, Form 1120A and Form 1120S (for statutory corporations)
  • NGO: Form 990
  • Fiduciaries: Form 1041

Professional Tax Software Used by Bi-Outsource:

Intuit’s QuickBooks accounting software, Intuits Pro-Series, Intuit’s Lacerte, Drake, Creative Solutions’ Ultra-Tax, Turbo Tax, ATX and ProSystem fx ® Suite – CCH and Many more

CPA Tax preparation Outsourcing FAQs

Whenever we think of delegating our responsibility to someone, many questions come in our mind. We tried to response some of the common questions which we received from CPA Partners and Accounting Firms working with us;

We always encourage our clients to use private cloud server for sharing documents over public emails (e.g. Gmail, Hotmail etc.) or cloud (G-Drive, Box, Dropbox etc.). Some of our client has their private cloud and document sharing platform. Our clients, who don’t have their own platform, we suggest using our own document management portal called “CapDoc”. Using this portal, we create account of our client wherein their people and Bi-Outsource’s people have different permission rights to access and process documents. Our people process and if required arrange all the documents or data folder in the cloud portal. To know more about feature of the software please check “Secure Data Transfer and Storage” on our website or you can check introductory video of “CapDoc” on our Youtube channel using below link; https://www.youtube.com/watch?v=PDar6nsFpok.

Being an outsourcing partner, we always consider security and confidentiality at priority. This is the reason, rather than depending on third party service provider, we have developed our own Document Management Portal named “CapDoc” which give utmost level of security of client data. Moving one step ahead, we also offer hosting our portal “CapDoc” on our clients Virtual Private Server. In this way our client can assign viewing rights for documents not only to us but also to other stakeholders while document still remain in their possession and control. To check more features of our software visit our website’s page “Secure Data Transfer and Storage” or watch introductory video on our Youtube channel using link; https://www.youtube.com/watch?v=PDar6nsFpok.

AICPA covers issue of using tax return preparation outsourcing service vide Rule 301 “Confidential Client Information”. It provides that, using tax return preparation outsourcing services will not be considered as the release of client’s confidential details and hence doesn’t require specific client approval. Moreover, specific client approval doesn’t require if the member enters into a service agreement with the tax preparation outsourcing company to maintain the confidentiality of its client’s details and implementation of appropriate procedures by the service provider to prevent the unauthorized access of the client’s confidential information is reasonably assured by the member.

However, in case of individual clients (Form 1040), IRS vide section 7216 requires taxpayers to sign a form to agree and give consent for the disclosure. You can check Revenue Procedure 2013-14, section 5.04(e) to check the how to draft the consent form. Otherwise, you can contact us to receive the standard template of the consent form.

In our experience with our associate CPA’s and Authorised Tax Agents, we have observed that when taxpayers trust their CPA or Authorised Tax Agents, they also understand the stress that CPA’s or Authorised Tax Agents go through during the tax season. Therefore, generally taxpayers don’t mind CPA’s taking some support from Tax Preparation Outsourcing Service Partner like Bi-Outsource to have stability in life specifically during the pick tax season. Just assurance of CPA’s & Tax Agent’s final review before submitting their returns is enough for them to give consent. Bi-Outsource processes tax returns for many CPA firms and Authorised Tax Agents so you will never feel deceived after choosing us.

We charge only for what is agreed and delivered. Apart from service charges, we don’t have any other hidden charges like other service providers. Our service agreement and policies are very transparent and free of any ambiguity which helps us provide vide range of services from Accounting, Tax Preparation to Business Analysis and Virtual CFO.