Anyone work as a tax professional?

[Sunshine State Sue]

This is my 4th year volunteering as an income tax preparer.  Sometimes, I wonder what it would be like to get paid to do the same.  I could see myself doing this after I retire (I work from home as a programmer) for something to do especially if I happen to move to the frozen north.  It would give me something to focus on besides cold weather.

 

Years ago, I found some interesting books at the library about various careers.  I really liked them because they gave the pros and cons of the jobs.  Unfortunately, those books are no longer available.  Google failed me.  So, I thought I'd ask here. 

 

Any experience?

[Julie of KY]

I don't, but my mother-in-law does. She used to work part-time while she taught. Now she's retired and has a full-time job for a few months of the year.

[SparklyUnicorn]

Not exactly no, but I did once look into signing up for free training.  A lot of big name tax prep companies have free training courses and will often let you test into higher levels.  That isn't a guaranteed job, but it's a definite foot in the door.  And with your experience you probably would have no trouble at all skipping over a lot of it.  I guess the higher you go with the training the more you'd get paid and more complex stuff you'd be allowed to do.

 

Although disclaimer the courses are free, but they often charge for the book.  In the state I live in they aren't allowed to to charge for the book because free is free (if advertised as free) per the law.  Just a heads up about that.

 

 

[lewber]

I used to. I worked for a small public accounting firm doing all sorts of taxes. Then i moved on to my family business and still worked tax seasons for several years at my old job. I enjoyed taxes. But I like not being the final paid preparer. There is so much to know and it changes every year. Of course that was almost 20 years ago, so just at the beginning of computer assisted returns. The tax code is so complex. I guess it just depends on what kind of returns you're preparing.

I liked it though. I would enjoy being a preparer again, but I would not be interested in being in business for myself. But that's just my personality.

If you like what you're doing now, I'm sure you'd love being paid to do the same thing! It did make the long winter months go quickly.

[Sunshine State Sue]

Although disclaimer the courses are free, but they often charge for the book.  In the state I live in they aren't allowed to to charge for the book because free is free (if advertised as free) per the law.  Just a heads up about that.

Yes, I stopped by and chatted with a young lady at H&R Block the other day.  She showed me how to look up classes (in the fall) and I noticed that they were free but $150 for course materials.

 

 I would not be interested in being in business for myself. But that's just my personality.

I have never wanted to work for myself.  The Amway people can't entice me with that line.  :glare: (If you've never been given the Amway sales pitch, they quote some percentage of people who want to be their own boss)

 

I do wonder about liability.  As a volunteer, I am covered by the Good Samaritan law so I am comfortable just doing the best I can possibly do.  If I was paid, it might stress me out a lot more.  I lean OCD perfectionist.

[vonfirmath]

This is my 4th year volunteering as an income tax preparer.  Sometimes, I wonder what it would be like to get paid to do the same.  I could see myself doing this after I retire (I work from home as a programmer) for something to do especially if I happen to move to the frozen north.  It would give me something to focus on besides cold weather.

 

Years ago, I found some interesting books at the library about various careers.  I really liked them because they gave the pros and cons of the jobs.  Unfortunately, those books are no longer available.  Google failed me.  So, I thought I'd ask here. 

 

Any experience?

 

My mom did it for many years when we were growing up -- working for H&R Block to pay off Christmas, mostly.  She did the training and became an enrolled agent for a while -- but could not keep up with the continuing education requirements and her day job so let it lapse about 10 years ago.

 

I took the training one year but never actually worked for them.

 

My husband does it now. Its pretty steady work Jan-April 15 and then dries up abruptly.

Edited January 23, 2017 by vonfirmath

[retiredHSmom]

If you have some training can I ask a question?  Maybe 2?

 

When does a child have to pay separate taxes? Can their taxes be lumped in with the family?

 

example:  Last year my 16 year old son earned a $500 stipend as part of the Youth Conservation Corps.  That is the only pay he received all year. Does he need to file taxes on his own?  Can we just add the income to ours ?

 

My 22 year old daughter is a full time student without a job.  We pay way more than 50% of her expenses.  She earned just under $8000 for a summer job and then another $1200 working halloween at the amusement park.  Does she need to file her own tax return?

 

Also the whole dependent/independent thing confuses me.  One of my daughters graduated from college in May and started Grad school in August. She lives at home and we don't charge her rent or groceries or utilities.(she is paying over 50% of her monthly income to pay off student loans and a part of a used car loan)  She does pay her own medical insurance, car loan, gas, cell phone and entertainment, her GTA position pays her tuition.  We elected to consider her independent for tax purposes although I do think that overall we may pay more than 50% of her living expenses.  How do you figure this all out?

[vonfirmath]

i'm sorry. I took the tax course MANY years ago (1999 or thereabouts)  A lot has changed since then.

 

Here is a link to the IRS documents about who must file: https://www.irs.gov/publications/p17/ch01.html#en_US_2016_publink1000170388

It has a link off to when dependents must file (for your 16 year old): https://www.irs.gov/publications/p17/ch01.html#en_US_2016_publink1000170430

 

Parent's Election to Report Child's Interest and Dividends: https://www.irs.gov/publications/p17/ch31.html#en_US_2016_publink1000174260

 

Information on Dependents: https://www.irs.gov/publications/p17/ch03.html#en_US_2016_publink1000170857

 

 

[Sunshine State Sue]

example:  Last year my 16 year old son earned a $500 stipend as part of the Youth Conservation Corps.  That is the only pay he received all year. Does he need to file taxes on his own?  Can we just add the income to ours ?

 

My 22 year old daughter is a full time student without a job.  We pay way more than 50% of her expenses.  She earned just under $8000 for a summer job and then another $1200 working halloween at the amusement park.  Does she need to file her own tax return?

 

A dependent must file if they have earned income > $6,300 (ignoring unearned income because it's doesn't sound like there is any)

 

[Sunshine State Sue]

Also the whole dependent/independent thing confuses me.  One of my daughters graduated from college in May and started Grad school in August. She lives at home and we don't charge her rent or groceries or utilities.(she is paying over 50% of her monthly income to pay off student loans and a part of a used car loan)  She does pay her own medical insurance, car loan, gas, cell phone and entertainment, her GTA position pays her tuition.  We elected to consider her independent for tax purposes although I do think that overall we may pay more than 50% of her living expenses.  How do you figure this all out?

If you go to this link and search on 'worksheet for determining support', it should help you out.

 

Theoretically, if you are providing more than half support, you should claim her.  Practically, if she claims herself and you do not claim her, the IRS doesn't really know if you are providing more than half support or not.  Where you get in trouble is when you claim her and she claims herself.