Should you submit your own taxes or seek professional help?

It is money Monday and we are in the heart of the tax season.

While some of us choose to be independent, you may be considering whether you want to use a tax specialist for your return. Paul Hood joined the news of 6 to clarify when it is appropriate to do this yourself, and if the better option is after professional support.

Determine your tax situation

“If you don't understand what the finished product looks like or that it is right, you shouldn't do your return,” said Hood.

He explained that for those with a simple tax situation like a single filer with a W-2 that treats their own taxes could be feasible. However, professional support is often required for people with more complex financial agreements such as rental objects or companies.

“If you have a fundamental person, let's say really easy. You are single, you have a W2, okay, your income and standard deduction. It is taxable income, your sources. You understand that it is pretty simple”. “But you can have rental objects and a company and do not know which qualified income, a qualified business income deduction are, or you do not know what passive activities are. You do not know what you know about the effects rental object that you are a real estate professional, Do not understand that the finished product is correct.

Cost-benefit analysis

While some may hesitate to spend money on a tax specialist, Hood argues that the potential savings can outweigh the initial costs. “When people come to us or another competent preparation, the result is usually much more than what it costs,” he said.

Hood emphasized that tax experts can identify deductions and credits that may have overlooked individuals, which ultimately led to a lower tax bill.

“There are only small things. It is not a plus one.

Diploma

Ultimately, the decision to commission a tax specialist or submit their own taxes depends on the financial situation and understanding of the individual. By taking the complexity of your tax situation and the potential advantages of professional support, individuals can make a well -founded decision that best meets your needs.