TUCSON, Ariz. (KOLD News 13) - Many of us look forward to the once-a-year windfall of a tax refund to pay for things we need. But if you choose the wrong tax preparer, you may not get as much as you deserve. Financial site The Motley Fool sent us some red flag warnings.
1) The first thing you want to do is make sure the tax pro has a preparer tax ID number. They’re required by the IRS for anyone who gets paid to prep taxes. It’s been this way for a while, so be wary of anyone who can’t give you that number.
2) Beware of anyone who promises you a refund. That’s a claim they can’t make until they review your situation.
3) Watch out if your preparer fee is a percentage of your refund. The downside of this is, you may end up paying more than you should if that refund is substantial. Look for someone who charges a flat fee or by the hour, instead.
4) Absolutely confirm that the tax preparer will be there to support you if you get audited.