First off, let me tell you that my fees are higher than  those charged by tax preparation services. Especially, those that crop up during tax season in shopping malls  with a guy sitting with a computer (but, never any books) behind a cardboard placard.

 I mention this because, I have people who call me or email me who actually expect my fee to be less than those fly by night characters.

But, I certainly don't  and won't compete in price with the tax preparation services, or for that matter, any other operator without a professional designation who sets up shop preparing tax returns.

In fact, I routinely tell bargain hunters looking for a cheapo way to have their taxes done to go to those other places.

Process of preparing a return

More importantly, when I prepare a tax return, it's not just a matter of  plugging numbers into a tax software program. Rather, it's a process that includes an exchange of emails to ensure you haven't overlooked any major deductions or credits; consulting the Income tax Act, Canada Revenue Agency Interpretation Bulletins and reported tax cases. Often, I consult with professional colleagues for their views.

Rates

My rates below are based on the minimum time needed to prepare a tax return times my billing  rate of  $150 per hour.

But please note if you require additional consulting time, my rate is $150 per hour.

Simple returns, slips only

·         personal tax returns: if you just have slips, say, not more than 12,then my minimum fee is $125

for a couple minimum is $225

Returns with employment expenses or self-employed income

Typically, for clients with self-employed income or with employment expenses, my time on the job is at least two hours. Each client has its own unique facts. Usually I look up at least two reported Tax Court cases for each client and report what expenses I  think is deductible, what is challengeable by Canada Revenue Agency, and what may be administratively allowed although not strictly deductible. In most case, before I print out the return, I email an encoded PDF  file of the return, so the client can decide if the return looks OK or whether they should be more or less aggressive with their expense claims.

    *    personal tax returns with a statement of self-employed income, the fee is $250 minimum; if you need a GST return prepared: add $100

·         personal tax returns with employment expenses: minimum fee is $175 per single; $325 per couple

·         corporate notice to reader financial statements with federal and Ontario tax returns, minimum fee is $900.

If you want a GST return prepared, add another $150. Add another $150 if you need T4's (up to 5 T4's)

·         Reviewed financial statements is a whole new ball game. Here, I'm talking about financial statements prepared according to GAAP (generally accepted accounting principles).  You have to realize that because note disclosures-- often running several pages-- are required, because of the many requirements involved in checking this and that, my time on even a simple set of financial statements can easily exceed 20 hours.  So, I  can't charge less than $2,400 per set of  financial statements. The profession has in the past year rammed down our collective throats a ton of new rules that make preparing reviewed financial statements double the job it used to be. Still, I'll be happy to give you a quote that will in all likelihood be up 50% lower than the fee most other C.A.'s will quote you. So, if you're paying something like $4,000 for what seems to be  a simple set of financial statements, why don't you send me an email and I'll be happy to give you a quote.

By the way, all my services are subject to 5% GST. If I have to ship you a parcel, I'll charge you shipping costs as well.

February 07, 2010