Taking over an accounting franchise is one thing, but if you operate a professional accounting or bookkeeping practice, then you may want to consider adding tax preparation to your roster of services.
In order to add professional tax services to your accounting or bookkeeping practice, you will need certain knowledge, skills, and certifications to attract clients to this new offer come tax season.
Why Practice Tax Accounting?
Tax accounting covers the practice and preparation of tax returns and payments. This subsect of accounting is an important one, as self-employed and employed individuals, businesses, corporations, and other entities must file income tax returns with the Canada Revenue Agency every year. As such, there is a high demand for professional services that can help Canadian taxpayers file their personal and business returns.
Some of the top reasons to educate yourself on income tax accounting and offer tax preparation services to clients include:
- Most Canadian residents and many non-residents must file tax returns, meaning there will always be a need for these services.
- Corporate returns are complex and lengthy making the need for professional tax accountants a must for larger corporations and businesses.
- Tax preparation can extend into tax planning and advice and consultancy, adding further services to your business.
- Even non-profits and tax-exempt organizations require tax accounting, adding greater opportunities for professional tax services.
Even though the CRA offers a free overview on tax filing, many individuals and businesses feel more comfortable hiring a tax professional or small business bookkeeping service to ensure a successful tax process. With this in mind, the first step you can take to add tax services to your accounting business is to gain the necessary skills and knowledge.
Canadian Tax Courses to Consider
The tax processes associated with Canada are unique, therefore it is essential to take Canadian-focused tax courses that deal specifically with the country’s federal and provincial regulations.
For example, the process of filing self-employed taxes for business owners will differ from client returns for investment income or trust income. A business owner will require different CRA tax forms and summaries to account for revenue and expenses, sales tax, and tax deductions and credits compared to an employed individual. So you will need to understand how to handle all types of returns.
With this in mind, consider exploring the following tax accounting courses and certifications.
Become a Chartered Professional Accountant
Becoming a Chartered Professional Accountant (CPA) will hold you and your accounting business in good stead. CPAs are a globally recognized and respected designation that is always high in demand.
Chartered Professional Accountants Canada is an organization that offers career and professional development as well as business and accounting resources. Gain access to conferences, webinars, online learning, and professional events to grow your industry knowledge and professional network.
To become a CPA in Canada you will need specific education and training, relevant work experience requirements, and the passing of a Common Final Examination. These courses and examinations will prepare you for the world of professional accounting, including tax preparation. By securing yourself this qualification, you will improve your services overall, and entice a greater number of individual, business, and corporate clients to your practice.
Join the Canadian Tax Academy
The Canadian Tax Academy offers a number of comprehensive tax accounting courses. The Academy’s course library consists of Canadian income tax courses that are divided into three sections: personal tax return expertise, corporate tax expertise, and tax practice training.
Their Canadian tax courses for personal tax returns include:
- An introduction to Personal Income Tax
- Preparing Tax Returns – Best Practices
- Personal Tax – T1 Case Studies
- Personal Tax Preparation Bootcamp
Tax Courses for business taxes and Corporate returns include:
- An Introduction to Corporate Tax
- An Introduction to Corporate Tax – Investment Income
- Corporate Tax Preparation Bootcamp and Masterclass
- Tax Planning for Corporate Owner – Managers
Courses that cover the startup and management of Tax practices include:
- Tax Practice – Risk Management
- Building a Tax practice
- Tax practice Survival Guide
- Tax Bytes – Practice Mentor
A monthly subscription service can also be obtained from the Canadian Tax Academy. This includes access to current tax news, ongoing training, master classes, practice tools and management, case studies, practice building advice, and more per month.
Once you have the appropriate knowledge surrounding tax accounting for small businesses, corporations, and individuals, you should acquire professional tax and accounting software to help you grow your professional business come tax season.
How to Start Filing Income Tax Returns for Clients
Although there is nothing straightforward about Canadian tax law, you can still simplify the tax process when you use professional tax software to help you as a tax preparer and bookkeeper.
Start generating client personal, business, and corporate taxes the professional way, with QuickBooks Online Accountant and Pro Tax software. On top of gaining a comprehensive tool that allows you to manage, generate, and file returns in one place, you can also take advantage of the brand’s Small Business Resource Centre, QuickBooks product tutorials and Support Centre.
Pro Tax, QuickBooks Online Accountant’s cloud-based professional tax software, makes it easy for accounting professionals to add tax services to their practice. It is built right into QuickBooks Online Accountant which means it looks and feels just like QuickBooks and has all the tools you need to start processing tax returns for your clients in one place.
Start preparing taxes like a professional tax preparer. Sign in to QuickBooks Online Accountant to try Pro Tax for free.
This content is for educational and information purposes only and should not be considered legal, accounting or tax advice, or a substitute for obtaining such advice specific to your business. Tax laws and regulations change frequently and can vary widely based upon the specific facts and circumstances involved. The content on this site is “as is” and carries no warranties. Intuit does not warrant or guarantee the accuracy, reliability, and completeness of the content on this site. We provide third-party links as a convenience and for informational purposes only. Intuit accepts no responsibility for the accuracy, legality, or content on these sites.