What To Do if Your CPA Makes a Mistake
Many can do their own taxes, but others need a professional to wade through their finances to do it right. Imagine paying money to have your taxes done by a certified public accountant (CPA) and finding out they made a mistake. If this happens to you, you need to know what you can do if your CPA makes a mistake.
What Is A CPA?
First, let’s define a certified public accountant. Anyone who provides accounting services such as financial planning, tax preparation, or financial statement preparation can be called an accountant whether they have a degree or not. By contrast, a CPA has earned the designation through a combination of education, experience an licensing. They have to pass an accreditation exam as well as do yearly continuing education.
What If Your CPA Makes A Mistake?
If you’ve hired a CPA to do your taxes, here are a few actions you can take both to prevent a mistake and if a mistake occurs.
Pay A Flat Fee
Some CPAs will charge a percentage of your refund to prepare your taxes. This may encourage shady methods to increase your refund that may not be valid.
Look Over Return
Before filing your taxes, look it over carefully. If there are things you don’t understand, ask for an explanation. A nonsensical answer may raise a red flag.
Get A Guarantee
CPAs will commonly advertise they will fix any mistakes for free. Normally all that is needed to to file an amended return with corrections. Upstanding CPAs may offer to pay penalties and fees occurred if they do make a mistake.
If you’re just not getting the response and help you need from your CPA, you can always officially complain to the American Institute of Certified Public Accountants (AICPA).
If a mistake results in you owning the IRS a substantial amount and your CPA refuses to pay the court system can be used to resolve your dispute as a last resort.
How about you, Clever Friends, did you know what to do if your CPA makes a mistake?
Check out additional articles on Clever Dude:
- How To Handle A Split Tax Return
- Taxes Season: What Should You Do If You Can’t Pay Your Taxes?
- Four Steps to Knocking Out Your Taxes Quickly