Read on Twitter
It’s not about how much money you make. It’s about how much money you get to keep.
There are two types of CPAs:
1. Those who act like they work for the IRS.
2. Those work and fight for their clients.
I’ve fired number 1s and I pay good money for number 2s.
What I’ve learned:
There are two types of CPAs:
1. Those who act like they work for the IRS.
2. Those work and fight for their clients.
I’ve fired number 1s and I pay good money for number 2s.
What I’ve learned:
You want a tax planner who gets aggressive, develops strategies for you to emplement, and is prepared to take on the IRS.
You pay them good money for this.
You pay them to WORK FOR YOU.
But let’s think about the motivating factors:
You pay them good money for this.
You pay them to WORK FOR YOU.
But let’s think about the motivating factors:
Taking this approach is more work for the CPA. Bad CPAs don’t like doing work.
I had arguments with my first CPA about depreciation. He said getting aggressive was a bad idea because recapture taxes are significant.
He didn’t want to do the extra work.
I fired that CPA.
I had arguments with my first CPA about depreciation. He said getting aggressive was a bad idea because recapture taxes are significant.
He didn’t want to do the extra work.
I fired that CPA.
CPAs don’t have much to gain by getting aggressive.
They get paid the same and they don’t want to do the work to build a case and records that stand up to the IRS.
Most CPAs are afraid of the IRS.
The good CPAs welcome audits and have the records to FIGHT for you.
They get paid the same and they don’t want to do the work to build a case and records that stand up to the IRS.
Most CPAs are afraid of the IRS.
The good CPAs welcome audits and have the records to FIGHT for you.
“My job is to keep you out of trouble”
Is what the bad ones will say.
Of course you have to keep me out of trouble.
Your job is to do that while you make a plan that allows me to keep more of my hard earned money.
Is what the bad ones will say.
Of course you have to keep me out of trouble.
Your job is to do that while you make a plan that allows me to keep more of my hard earned money.
The tax code isn’t black and white.
Sometimes you need to adjust your behavior to fall into certain categories. This is more work and requires more planning.
The safe route is the path of least resistance.
A solid strategy and bombproof records isn’t easy.
Sometimes you need to adjust your behavior to fall into certain categories. This is more work and requires more planning.
The safe route is the path of least resistance.
A solid strategy and bombproof records isn’t easy.
But it’s worth it.
Cost segs are worth it. RE pro status is worth it. Mileage logs are worth it. Accelerated depreciation is worth it. Home office expenses are worth it. Per diem is worth it.
Find a CPA who is willing to fight for you and isn’t afraid of the IRS.
Cost segs are worth it. RE pro status is worth it. Mileage logs are worth it. Accelerated depreciation is worth it. Home office expenses are worth it. Per diem is worth it.
Find a CPA who is willing to fight for you and isn’t afraid of the IRS.
A few more thoughts:
Your LLC structure matters. The tax treatment you elect matters. C Corp vs S Corp matters. The tax shield on an investment matters.
Your tax planner should be in your corner when you look at deals telling you what those deals mean to YOU.
Your LLC structure matters. The tax treatment you elect matters. C Corp vs S Corp matters. The tax shield on an investment matters.
Your tax planner should be in your corner when you look at deals telling you what those deals mean to YOU.
He / she is your consultant. Advisor. Strategist.
Far too many folks do deals without understanding the tax implications.
Far too many folks only talk to their CPA during tax time.
Get them involved!
Far too many folks do deals without understanding the tax implications.
Far too many folks only talk to their CPA during tax time.
Get them involved!
Also consider the personality of most CPAs.
A type A, risk adverse, safe route kind of guy might not be willing to get aggressive with your tax strategy and use the code to your max potential.
If you know the code and your plan that’s fine. If you want help it’s not.
A type A, risk adverse, safe route kind of guy might not be willing to get aggressive with your tax strategy and use the code to your max potential.
If you know the code and your plan that’s fine. If you want help it’s not.
And if you are looking for a good follow on twitter to learn this sfuff, my CPA is here @baldridgecpa. He tought me all about this stuff. https://twitter.com/sweatystartup/status/1294667715492413442
