Here are answers to some of the most Frequently Asked Questions our firm receives:
(Please remember that the information on this website is general in nature and may not apply directly to your individual situation.)
For specific advice, please call us at 734-429-7172, or e-mail your questions to us.
Q: How do I know when certain taxes are due?
A: You can give us a call or check out the Calendar page on this website.
Q: When should I give you my tax information?
A: You should bring all of your information in as soon as you have it all together. The sooner you bring it in to us the better chance we have at making sure that we've done the best possible job for you.
Q: What do I need to do to start a new business?
A: Typically, most people will go to their lawyer first, get the business all set up, and then contact an accountant. We would like to suggest that you contact us at the beginning. There are many different types of companies, and we can help you determine the best type one for the kind of company that you will be starting. We will can then continue to help you with payroll, tax returns, monthly accounting, or financial statements depending, on what you need.
Q: Should I use a lawyer or an accountant to incorporate my business?
A: Although lawyers can get the paperwork together to make your incorporation happen, they might not know all the different tax laws that can apply to the different types of incorporations. Therefore, we suggest you see an accountant first to find out exactly what type of incorporation you should pursue. When that's done, your lawyer can then finish the paperwork.
Q: Are QuickBooks or Peachtree good products?
A: QuickBooks or Peachtree can help you with your small business accounting, but they can not think for you. The software has to be set up properly from the beginning or you will have problems. We find that by setting it up yourself, it can cost you more in accounting fees later on because it takes longer for us to resolve those errors. We advise that if you are going to use one of these products (and a lot of our clients do) you have your accountant help you set it up. We have several staff members that know these products and can help you with this process.
Q: By using QuickBooks, can I reduce my fees?
A: Our experience shows us that if you know something about accounting AND your computer software is set up properly from the beginning, it is possible that we won't need to spend as much time on your accounting. But in some cases, the initial set up was not done properly and we end up spending more time 'cleaning up' the errors than if we had just entered the detail from the beginning.
Q: Do I need a Certified Public Accountant or is an accountant okay?
A: Some people do not need the expertise of a Certified Public Accountant (CPA). Since each situation is different, the only way to know for sure is to call a CPA firm and ask.
Q: How can I pay my personal taxes by credit card and which credit cards are accepted?
A: Credit card payments can be made by phone (1-800-2-PAY-TAX or 1-888-PAY-1040, toll free) or via Internet (www.officialpayments.com or www.Pay1040.com) using Discover, American Express, VISA, or MasterCard. You will be provided a confirmation number at the end of the payment transaction and your credit card statement will provide confirmation of your electronic payment. The payment and return are reconciled based on the Social Security number entered and the type of tax selected during the transaction.
Q: Is the IRS storing credit card information?
A: No. The IRS does not have access to credit card numbers or direct participation in the credit card transactions. The IRS relies on private credit card processors to verify the validity of the card and the line of credit. The processors forward the appropriate tax payment information to the IRS. Also, Hantz Rhoades & Doerher, LLC and Rhoades Doehrer & Associates, PLLC do not have any ties to these companies.
Q: Is there a fee charged for using my credit card to pay my taxes?
A: The company that processes your credit card payment charges a convenience fee. You are informed of the convenience fee amount before you authorize the payment. The fee is in addition to any charges, such as interest, that may be assessed by your credit card issuer. These companies have no affliation or ties to Hantz Rhoades Doerher.
Q: Where can I get additional information about IRS e-file?
A: You can visit the IRS website at www.irs.gov - or feel free to call our offices to ask us questions as well (734-429-7172).
Q: If I owe, how do I pay my taxes electronically?
A: You can e-pay by credit card. If you e-pay by credit card, you delay out-of-pocket expenses and may earn miles, rewards or money back from your credit card issuer. Payment by check or money order is acceptable. If you owe money, Hantz Rhoades Doehrer will provide you with a voucher and addressed envelope to mail your check into the IRS. Your return can be e-filed at any time before April 15 (unless it's extended) and then you can mail your payment in later - as long as it is postmarked on or by April 15.
Q: What do I gain by using IRS e-file?
A: Accuracy. Security. Electronic Signatures. Proof of Acceptance. Fast refunds with direct deposit. Electronic payment options. You can e-file both your federal and state returns - and they can't get lost in the mail.
Q: What is an Authorized IRS e-file Provider?
A: An Authorized IRS e-file Provider is a tax professional or firm who is accepted into the IRS electronic filing program. One type of Authorized IRS e-file Provider is an Electronic Return Originator (ERO). An ERO is a person or firm that taxpayers entrust with tax information for the purpose of filing income tax returns electronically to the IRS. Our affiliate company, Hantz Rhoades & Doehrer, LLC is an ERO and can e-file your returns.
Q: What is the Personal Identification Number (PIN)?
A: The PIN allows you to personally sign your electronic tax return using a five digit number. The PIN serves as your signature on your tax returns. Our firm will have this form all filled out for you when you come to pick up your returns or they are mailed to you. All we need you to do is sign the form for us to keep on file and then we are able to e-file your returns.
Q: Can I pay my balance due by phone or Internet with a credit card if I'm a 'married filing joint' filer?
A; Yes. Just be sure to enter the Social Security number of the first taxpayer listed on the return's pre-printed mailing label or postcard. This is usually the taxpayer listed on the return.
Q: Do I really get my refund faster?
A: With IRS e-file you get it back in half the usual time. It's even faster and safer if you have your refund deposited directly to your bank account. This can happen in as few as 10 days. Ask your Authorized IRS e-file Provider for the estimated date of deposit. For more information about Direct Deposit, go to the Financial Management Service (FMS) website, www.fins.treas.gov/eft/ - or feel free to give our office a call (734-429-7172).
Q: Can I check on the status of my refund?
A: Yes! Just to to the "Track Refund" page of our website for an easy link to track the Federal and/or State websites for the current status of your refunds.
Q: Should I wait until April 15 to file electronically if I owe taxes?
A: No. You can e-file your return as soon as it is completed. Then you send your payment in on or before April 15. Hantz Rhoades Doehrer will give you a payment voucher and addressed envelope to make sure it gets to the correct IRS center.
Q: What is a Form 9465, Installment Agreement Request?
A: This form is available through our firm. An approved Installment Agreement allows you to make a pre-determined series of partial payments after April 15. Regardless of how you pay, you are responsible for paying the amount of tax due by April 15 of each year or you will be subject to late payment penalties and interest.
Q: Do I have a greater chance of getting audited by the IRS if I use IRS e-file?
A: No. The chance of an audit of an e-filed return is no greater than with a paper return.
Q: How do I know that the IRS really got my return?
A: The IRS notifies the Authorized IRS e-file Provider within 48 hours of transmission that your information was received. If the IRS detects any transmission errors, a message is sent to our firm, where we can correct the error and resubmit your returns to the IRS for final processing.
Q: Can my state tax return be e-filed with my federal return at the same time?
A: Most state returns can either be e-filed with, or independent of, the federal return. The Michigan return can be e-filed either way. We can take care of that for you.
Q: If my return is electronic, how do I sign it?
A: The most convenient way for you to sign your electronic return is to use a Personal Indentification Number (PIN). It's practically paperless! Our firm will have you sign a document that shows that you agree with the numbers on the return and are allowing us to e-file your return for you. This one form 'signs' your Michigan return as well. The signed forms stay on file at our office for at least four years, per government requirements.
Q: What if I owe and cannot pay the full balance due on my taxes?
A: The tax preparation software used by our firm can allow you to make partial payments. In this case, you can make a payment for less than the balance due amount on your return. If you cannot pay in full by April 15, you can file Form 9465, Installment Agreement Request.
Q: What happens if my return is filed electronically, I am receiving a refund, and I owe taxes from previous years?
A: The amount owed on back taxes is automatically deducted from your refund just as if you filed a paper return.