7 Ways to Prepare Your Clients for Tax Season 2021

​The new tax season is at hand. It is one of the busiest times for CPAs or other accounting professionals.

​Many businesses seek new services, while some may seek to increase their accounting staff. Accounting professionals must prepare thoroughly and anticipate major issues to be better prepared to face challenges that may arise when working with clients. The Covid-19 pandemic challenges and the rather abrupt Brexit Deal will impact business accounting on the global stage. However, we present some tips CPAs can use to prepare their clients for this tax season.

​1. Update your information

The Covid-19 pandemic brought with it considerable changes in business policies and market conditions. It is time to check if tax codes have changed or those that have been updated in the year 2020. You can simply visit the official IRS website to find current information on tax updates. Before sending your prep template to your clients, make sure they reflect major changes and are up-to-date.
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Your clients may be concerned when you inform them of minor changes in the tax template. Hence, this will help if you educate them on why the changes are necessary. Writing a blog or making a video on the subject should help ease their concerns. Additionally, it will help you gain their trust and ease your work by making relevant documents available.

​2. Start preparing clients early

One of the reasons CPAs overwork during the tax season may also be delays in receiving vital documents from their clients. It is not too early in January to reach your clients to start preparing their documents for the tax season. Start by sending a reminder. Proceed to make a checklist of documents and resources that will be required. It is easier to list the resources in an orderly manner that will make it convenient for you to crosscheck if anything is missing. You may also consider ordering the checklist in the order in which they will be required during your work.
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Be sure to communicate deadlines for submission politely. Also remember that some of your clients may not be able to submit their documents before the due date. It is a good idea to prepare for a deadline extension. 

​3. Guide clients to use QuickBooks hosting services

​As remote working is taking center stage in most enterprises, the accounting process is also towing the same path. QuickBooks hosting helps CPAs work simultaneously and remotely on clients' tax projects. QuickBooks makes it easier for CPAs to receive and work with the necessary tools required for clients' work. The QuickBooks hosting platform's collaborative tools automatically reduce the average time required to complete tax projects for each client. 

​4. Upgrade Data Security

​The rise in cybersecurity breaches during the first Covid-19 lockdown brought lots of questions about data security for businesses. It would help if you upgraded the security of your data center. And if you are yet to use a cloud-hosted data platform, consider using the QuickBooks Hosting Platform. This cloud-based accounting software platform automatically runs data security updates for your account. You can be sure that your clients' data is safe and secure.

​5. Update your accounting software

​Preparing your clients for the upcoming tax season also involves you getting yourself and members of your CPA team ready. Check for updates on your accounting software. Be sure to update the software and go through the update to see if there's anything new to learn. You can also update your skills with the new version. The upgraded version can help you inform clients about some new or extra data you will need.

​6. Run a trial

​After you have updated your accounting software, it is safer to test-run the software. This will help you discover and learn how to deal with any challenges that may arise using upgraded software while working on clients' projects.

​7. Prepare and backup your files

​Be sure to check previous work for your clients to confirm that they are intact and safe. Try a periodic monthly backup routine. Make sure you backup your accounting templates too.

Conclusion

​The tax season is so close. Time spent preparing your clients before the February-April rush will pay off in terms of reduced stress and improved efficiency. Get to work on preparing your clients as soon as possible.