Trending...
- Google AI Quietly Corrects the Record on Republic of Aquitaine's Legal Sovereignty
- 2 Funny Native Comedy Night Comes To St Croix Casino Hertel
- Make Innovation Matter: Support H.R.1's R&D Expensing Relief for American Small Businesses
NATP survey finds most tax pros faced issues with accurate reporting of stimulus payments, client issues and late/lack of IRS guidance
APPLETON, Wis. - WisconsinEagle -- Tax preparers faced unprecedented challenges in the 2021 tax season, including last-minute tax law changes that needed to be incorporated into returns that may have already been filed and accepted by the IRS. The National Association of Tax Professionals (NATP) sent a survey to more than 20,000 tax preparers, both before and after tax season, comparing their expectations of the upcoming season with how it actually went.
According to the survey findings, the most critical issues tax pros faced this past tax season were related to tax law changes. But, overall, tax professionals reported they felt confident in their knowledge level when it came to completing accurate returns this season – specifically related to new or revised deductions and credits, and tax law changes or updates.
Additionally, the coronavirus relief acts did not have as negative of an impact on their clients as expected. One complicated issue preparers faced with the coronavirus relief acts was their clients' recordkeeping and accurate reporting to reconcile the third stimulus payment. The change in business operations due to pandemic safety protocols was also a burden to some firms, according to the survey.
"This data, while not surprising, is important to collect because it helps us develop the resources our members need to provide outstanding service to their clients during tax season and beyond," said NATP Executive Director Scott Artman. "This tax season was another one for the books, and we're not expecting the changes to stop as the year progresses. I'm proud that NATP was able to keep tax pros informed and equipped to handle these changes as they were announced."
More on Wisconsin Eagle
Even though tax preparers saw an increase in the number of returns they prepared this season compared to last, the Tax Day extension to May 17 had little impact on the number of returns prepared – both for business and individual clients. The overall impact on tax professional's business was greater than expected, and reflecting on the past season, more tax professionals indicated they would have increased staffing levels compared to what they expected prior to the tax season. They also think the increased impact will carry into next year's filing season.
Tax pros reported the biggest ways coronavirus relief acts impacted their business in the 2021 tax season were in stress levels and workload, as well as the complexity of returns, which was expected among industry professionals. At the center of it all, though, was the need for further clarification and guidance from the IRS on issues related to coronavirus relief acts. Many preparers reported getting in contact with the IRS to be a burden on their workload this season.
Other key findings include:
To view the full report, or to speak with someone on its findings, please contact Nancy Kasten, NATP marketing director, at nkasten@natptax.com.
More on Wisconsin Eagle
###
About NATP: The National Association of Tax Professionals (NATP) is the largest association dedicated to equipping tax professionals with the resources, connections and education they need to provide the highest level of service to their clients. 23,000 members rely on NATP to deliver professional connections, content expertise and advocacy that provides them with the support they need to best serve their clients. The NATP headquarters is located in Appleton, WI. To learn more, visit www.natptax.com.
Looking for a tax expert? Rhonda Collins, EA, CPA, MBA, is the director of tax content and government relations at the National Association of Tax Professionals (NATP). Collins has a diverse background of over 25 years in the industry. As a licensed CPA and EA, Collins can represent clients before the IRS. She is available for phone or video interviews to discuss federal tax topics including tax law change and its implications, taxpayer issues, tax preparer regulation and more. To schedule an interview with Collins, contact nkasten@natptax.com.
According to the survey findings, the most critical issues tax pros faced this past tax season were related to tax law changes. But, overall, tax professionals reported they felt confident in their knowledge level when it came to completing accurate returns this season – specifically related to new or revised deductions and credits, and tax law changes or updates.
Additionally, the coronavirus relief acts did not have as negative of an impact on their clients as expected. One complicated issue preparers faced with the coronavirus relief acts was their clients' recordkeeping and accurate reporting to reconcile the third stimulus payment. The change in business operations due to pandemic safety protocols was also a burden to some firms, according to the survey.
"This data, while not surprising, is important to collect because it helps us develop the resources our members need to provide outstanding service to their clients during tax season and beyond," said NATP Executive Director Scott Artman. "This tax season was another one for the books, and we're not expecting the changes to stop as the year progresses. I'm proud that NATP was able to keep tax pros informed and equipped to handle these changes as they were announced."
More on Wisconsin Eagle
- The AML Shop Launches New Financial Investigations Unit, Appoints Director to Lead the Initiative
- Raidium révolutionne le diagnostic de la Sclérose en Plaques en partenariat avec l'Hôpital Fondation Adolphe de Rothschild
- New Podcast "Spreading the Good BUZZ" Hosted by Josh and Heidi Case Launches July 7th with Explosive Global Reach and a Mission to Transform Lives
- The Herbal Care, Led by Markel Bababekov, Becomes a Top Dispensary in NYC's Upper East Side
- Digital Watchdog Launches New myDW Cloud Services
Even though tax preparers saw an increase in the number of returns they prepared this season compared to last, the Tax Day extension to May 17 had little impact on the number of returns prepared – both for business and individual clients. The overall impact on tax professional's business was greater than expected, and reflecting on the past season, more tax professionals indicated they would have increased staffing levels compared to what they expected prior to the tax season. They also think the increased impact will carry into next year's filing season.
Tax pros reported the biggest ways coronavirus relief acts impacted their business in the 2021 tax season were in stress levels and workload, as well as the complexity of returns, which was expected among industry professionals. At the center of it all, though, was the need for further clarification and guidance from the IRS on issues related to coronavirus relief acts. Many preparers reported getting in contact with the IRS to be a burden on their workload this season.
Other key findings include:
- The majority of firm owners (67%) made no changes to their staffing levels in response to the coronavirus relief acts, but in hindsight, many tax professionals would have hired more staff if they had known the complexities associated with this tax season
- Tax professionals, in general, filed about the same number of extensions as last year
- About a quarter of the extensions filed were due to effects from the coronavirus relief acts
- Tax professionals mostly conducted client interviews virtually or over the phone
- 25% of firm owners plan to increase their staff for next year, up from 9% when asked prior to tax season
To view the full report, or to speak with someone on its findings, please contact Nancy Kasten, NATP marketing director, at nkasten@natptax.com.
More on Wisconsin Eagle
- Stan Fitzgerald Appointed Acting Press Secretary for Veterans for America First VFAF Georgia State Chapter
- Drone Light Shows Emerge as the New Standard in Live Event Entertainment
- Lore Link is Here to Help Organize Your Game
- Chappaqua's Annual Townwide Summer Sale – Unbeatable Savings at Your Favorite Local Boutiques!
- Skyline Partners with ZenSpace to Offer Private Meeting Pods for Trade Show Exhibitors
###
About NATP: The National Association of Tax Professionals (NATP) is the largest association dedicated to equipping tax professionals with the resources, connections and education they need to provide the highest level of service to their clients. 23,000 members rely on NATP to deliver professional connections, content expertise and advocacy that provides them with the support they need to best serve their clients. The NATP headquarters is located in Appleton, WI. To learn more, visit www.natptax.com.
Looking for a tax expert? Rhonda Collins, EA, CPA, MBA, is the director of tax content and government relations at the National Association of Tax Professionals (NATP). Collins has a diverse background of over 25 years in the industry. As a licensed CPA and EA, Collins can represent clients before the IRS. She is available for phone or video interviews to discuss federal tax topics including tax law change and its implications, taxpayer issues, tax preparer regulation and more. To schedule an interview with Collins, contact nkasten@natptax.com.
Source: National Association of Tax Professionals
Filed Under: Business
0 Comments
Latest on Wisconsin Eagle
- $12.8 Million Net Revenue for 2024 for Cloud-Based Crowdsourcing Recruitment and SaaS-Enabled HR Solutions Provider: Baiya International Group Inc
- Hire Virtue Announces Executive Sponsorship Opportunity for Houston Hiring Blitz & Job Fair on August 6, 2025
- Inked & Maxim Model Teisha Mechetti Turns Heads—And Builds Community Impact
- Plan to Launch Silo Technologies' Cybersecurity Pilot Program for Ultimate Nationwide Deployment via Exclusive Partnership: Stock Symbol: BULT
- Robert Michael & Co. Real Estate Team Celebrates Industry Recognition and Showcases Premier Central Florida Listings
- AI-Based Neurotoxin Countermeasure Initiative Launched to Address Emerging National Security Needs: Renovaro, Inc. (N A S D A Q: RENB)
- The Naturist World Just Shifted — NaturismRE Ignites a Global Resurgence
- Colbert Packaging Receives Safe Quality Food (SQF) Certification
- $796,000 in Q2 Revenue Marks Highest Earnings to Date on 3 Trailing Quarters of Profitability in Multi-Billion Homebuilding Sector: Stock Symbol: IVDN
- Cybersecurity is THE Hot Market Sector; Revenues, Earnings & Profit matter; Only 33 Million Shares + a Huge Short Position Equal an Undervalued Stock
- Despite Global Calls for a Ban, US Child Psychiatry Pushes Electroshock for Kids
- Franco Polished Plaster Celebrates 35 Years of Bringing Walls to Life in the UK
- Spartan & Guardians Partner with Guitar Legend Buckethead to Support Global Child Rescue Efforts
- Preliminary.online Introduces Short-Term Job-Readiness Courses with Employer-Verified Certifications
- Psychologist-Turned-Hermeticist Releases Modern Guide to the Seven Hermetic Principles
- Winners Announced for Asia Pacific Business Awards 2024-2025
- Hamvay-Lang and Lampone.hu Join Forces with AIMarketingugynokseg.hu to Elevate Hungarian Lifestyle Brands on the Global Stage
- Google AI Quietly Corrects the Record on Republic of Aquitaine's Legal Sovereignty
- NYC Leadership Strategist Stacie Selise Launches Groundbreaking 4S Framework Series to Redefine Executive Excellence
- Make Innovation Matter: Support H.R.1's R&D Expensing Relief for American Small Businesses