03/10/2023
Accounting, tax preparation and auditing are three separate, albeit overlapping, functions.
Accounting entails properly classifying and recording income and expenses. This is critical for any business. How else would you know how profitable you are?
Tax preparation requires knowledge of tax law and the ability to accurately determine taxability and tax rate to figure the overall tax liability.
Auditing requires knowledge of both accounting and tax preparation. The auditor must ensure the client is paying the correct amount of tax, not too little and certainly not too much! To do this, the auditor must review the accounting records to make sure they are complete and accurate. The auditor must then review the tax liability and verify that classification of taxability is correct as well as the tax rate used.
Here at Shoebox Tax Group we do all of the above and MORE! Reach out to schedule you tax consultation today