How To Train for a Career in Tax Preparation

Year after year, professional tax preparers are hired by millions of people to iron out their taxes and file their tax returns. There is a huge market for tax preparers with the proper training. A career in tax preparation has so much potential and could be a prelude to something big and this means you could eventually set up your own business in tax preparation.

At the height of the pharaoh’s power in ancient Egypt in the first dynasty, tax revenues were regularly collected from the people. Traditionally, 20% of the farm crop was the tax given to the Pharaoh, which he collected twice a year whenever he went around his kingdom. Collected taxes were then recorded on papyrus sheets or limestone flakes. Tax collection in Europe can be traced as early as the 17th century where there are records that show France to be collecting a rate of 15%-20% from all goods and products. The tax rate then increased as war tore through England and Europe in the 18th and 19th century, and governments raised taxes and became more efficient in collecting them.

Preparing taxes can be a difficult and intimidating task for most people who usually dread it when tax season comes. Tax preparation can be done by professional tax preparers who can charge fees from as low as $100 an hour and earn as high as $50,000 a year. This career means you have to be aware of federal and state laws, and laws regarding such variables as exemptions, deductions and taxable income. All these and more can be learned in certifications and licensing courses that are being offered in colleges.

There are also several sites online that offer online courses for certification to become professional tax preparers. Careers in tax preparation usually require a degree in accounting or finance. But enrolling in an accounting course or a course in banking and finance will be too time consuming, and too costly to consider. Since there are several training programs and courses that teach about tax filing, forms and state taxes and give licenses or certifications to be professional tax preparers, there are now more chances to raise your income by becoming a tax professional.

There is really no need to be a math genius to have a successful career in tax preparation. Simple addition and subtraction and a great deal of common sense will enable you to proceed in this career. Knowledge about how to fill out tax forms, state tax returns and even electronic filing will come from the courses on tax preparation that you will be studying in the training program you choose. But what you will need in addition to this knowledge is the ability to converse, interact and understand the needs of your client as you go about preparing his tax papers. Becoming alert to the needs and particularities of the client and his tax needs will assist you in assessing if there are any complications to his tax papers, and cultivate clients to come back to you year after year for their tax preparation needs.


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