50+ countries
across the world

Outsourcing leader
since 2008


quality processes

How Does Outsourcing Tax Preparation Help Improve Client Service?

Last updated: 10 Aug, 2023 By | 6 Minutes Read

During the last decade, accounting companies ranging in size from small-scale companies to large-scale ones have accepted tax preparation outsourcing with the intention to enhance performance, client service, and employee retention.

This blog post is going to offer a summary of those advantages in addition to focus on the workflow, safety, and regulatory concerns encompassing the business processes.

Tax preparation outsourcing increases performance in a minimum of 3 ways. To start with, it escalates the yearly billable hours per tax expert by allowing companies to hire for off-season as opposed to peak-season workload.

Second, outsourcing tax preparation maneuvers businesses in the direction of a paperless tax workflow that simplifies as well as standardizes the preparation as well as the review procedure.

Lastly, when tax outsourcing is utilized, businesses are able to considerably keep costs down as a result of the remuneration differential between U .S. and offshore service providers.

Tax preparation outsourcing enhances client service in at least 2 ways. First, with a lot of tax preparation outsourcing companies offering a 1 to 3 day turn-around time, businesses may get tax returns back to their clientele, days if not weeks earlier.

Second, by cutting down the mundane data entry and document organization chores, outsourcing allows tax experts to pay attention to much higher level, value-added client solutions.

Lastly, businesses stipulate that tax outsourcing enhances their capacity to entice and sustain competent personnel by “taking the edge” off tax period. Extended hectic season hours push a lot of people out of the job. Outsourcing tax preparation makes it possible for businesses to get the work carried out whilst giving staff a bit of semblance of a standard life at the time of tax season.

Tax outsourcing is empowered by paperless workflow concept that aligns a company with its tax outsourcing company. While taxpayer source files are obtained, the CPA firm checks and uploads them to the tax outsourcer’s site together with a version of the preform tax software file.

The tax outsourcer subsequently preparers the tax return in addition to a structured, indexed, as well as annotated set of electronic work papers which make the review extremely effective.

In case modifications are required, CPA firms may either have the outsourcer make them or perhaps accomplish it on their own if the work needed is minimal.

In addition to quality, the major dilemma of the majority of CPA firms that outsource is keeping up the safety and privacy of taxpayer data. Companies should properly evaluate their service vendors to make sure data security is preserved.

To accomplish this, businesses must take into consideration the security of the location wherein the chores are carried out, the security and safety of the hardware wherein the data stays, the security of the software program utilized to render the service, and the privacy of the information while in transit.

Thinking of outsourcing your tax preparation process? Get in touch with Cogneesol! Contact now, at +1 646-688-2821 or email us at [email protected].

Read Also:

Expert Reviews for Using Accounting and Tax Software!

What Preparations Must You do Before the Next Tax Season Starts?