Many of us often calculate taxes by ourselves or use some internet tools in an effort to save money. But there are times when we hit certain triggers and get lost in the middle of financial complexities. We then ask ourselves, “Are we doing the right thing?”
Well, if you have spent more than a few hours on your taxes this year, it is time to consider the possibility of hiring tax accountant Mississauga. If you feel that you can no longer keep track of your tax, you can hire someone else who can it for you. Here are some signs that you need a tax accountant.
- You are earning more than 200k annually. Your odds of being audited can increase along with the rise of your income. Most people who earn less can do the tax on their own because they belong to the minimum tax bracket, which means that the calculation is easier. However, some people whose income exceeds 200k would prefer to have an accountant who can defend them if they get calls from the IRS.
- You received a K-1s. This is a tax document issued to you when you are operating a business partnership, wherein you will have to disclose your partnership income, deduction, and credits. Most companies, however, do not have time to assess their own tax payables. So what they do is that they have their own department specifically assigned to compute taxes. Smaller partnership companies do not have this and if you belong to the latter, you may need to hire a tax accountant to save time on doing the computations.
- You have sources of income coming from other foreign business other than your local business. Especially if you have invested in some business such as having stocks in a foreign entity or you own a foreign ETF, you will definitely need a tax accountant to keep track on your tax liabilities. The bigger your incomes and the more businesses you have, the more serious your tax obligations can become. If you evade these responsibilities or forget your tax liabilities, you could be subject to a lot of penalties in the future which are more expensive than your original taxes.
- You are operating a business with several people employed. Owning a local business in Mississauga entails you to be very responsible in paying your local taxes. If you don’t have time to manage you payables, an accountant can help you make sure your tax dues are paid on time and find opportunities to minimize taxes by probing available deductions.
- You are disposing some of your properties. Whether you are selling or donating your properties, you are going to pay taxes. If your property is located in Mississauga, the state laws would require you to pay some taxes such as capital gains tax, sales tax or donor’s tax. Well, donating or selling a property is not just a simple transaction. If you have an accountant, he or she can apprise you of the tax advantages and different possibilities you can get when you dispose properties.
Whether or not you are an employee or you are a businessman, it would be very helpful to have someone who can help you calculate your taxes. Instead of spending your own time in gathering information, researching new opportunities in tax code, and refreshing your memory, you can just hire someone who can do the task better and save your time for other more important things.