That's a really helpful distinction. Do you think it's reasonable to expect both services from the same person? Or should I be looking for two separate professionals - one for planning and one for preparation?

Most comprehensive CPAs should be able to provide both services, but you may need to specifically request and possibly pay extra for the planning component. Many tax professionals offer tiered service packages - basic preparation at one price point and more comprehensive planning at a higher price. For someone in your situation with increasing income, business activities, and life changes like marriage, I'd definitely recommend finding one person who can handle both aspects. Just be clear about your expectations upfront and make sure they explicitly offer tax planning as part of their services.

Tax software is fine for simple situations but it misses a lot for complex cases. I tried this approach with my small business and rental properties and ended up getting audited because the software didn't properly handle some depreciation calculations. A good CPA is worth every penny for complicated tax situations.

You're right that it's not for everyone. I should have mentioned my situation is pretty straightforward - W2 income, mortgage, some investments. For folks with businesses, rental properties or more complex situations, a CPA probably makes more sense. I still think tax software has gotten much better at prompting for common deductions and credits though. Mine specifically asked about HDHP coverage and whether it was individual or family, then calculated the maximum HSA contribution automatically.

That's really helpful, thank you! Do you know if they can help with responding to the notice too? Or just explaining what it means? My parents are really nervous about writing back to the IRS in English.

They can definitely help with responding to the notice too! VITA volunteers are trained to assist with the entire process - from explaining what the notice means to helping draft an appropriate response. They can even help gather the necessary documentation to support your parents' case. Many sites also have volunteers who speak multiple languages or can arrange for interpreters. Just call ahead to make sure they have someone who speaks your parents' language and to schedule an appointment. Bring the CP2000 notice and any related tax documents (like the original tax return and the 1099 from the delivery company).

This is so important! I work at a tax office and we see people every week who ignored notices thinking they would "go away" and end up with liens, levies, or wage garnishments. Even a simple "I'm working on gathering documentation and need more time" letter can prevent automatic assessments.

The home sale had about $120k in gains (bought for $180k, sold for $300k) and I did live there as my primary residence for 4 years before getting married. For investments, we mostly have basic ETFs and some company stock, nothing too complex. Based on this, do you still think TurboTax would handle it okay?

With a gain of $120k and having lived in the home for 4 years as your primary residence, you should qualify for the full capital gains exclusion, which means you likely won't owe any tax on the sale. TurboTax should handle this correctly as long as you answer the questions accurately about how long you lived in the home. For your investments, basic ETFs and company stock are typically straightforward for TurboTax to handle. The software will import all your 1099-B information and calculate gains/losses appropriately. Just make sure you have your cost basis information for any positions you sold during the year. Based on what you've described, I think you'd be fine continuing with TurboTax. If you want extra peace of mind, you could use one of the tools others mentioned to double-check your work, but I don't see anything in your situation that would require paying several hundred dollars for a professional.

I really like this idea of doing it yourself then having someone review it! Do most CPAs offer this type of service? Seems like it would be cheaper than having them do the whole return from scratch.

Thanks for the suggestion! I checked and there weren't any irregular payments or bonuses - it was just my standard salary payment. And we're on a consistent bi-weekly schedule. The only change was adding the new dependent on my W-4. I'll definitely keep an eye on my next paycheck though!

Wouldn't checking the box in step 2 withhold at the higher single rate? That might be too much withholding for someone with 2 kids and a stay-at-home spouse. Could create too big a refund, which is just giving the government an interest-free loan.

Thanks for this tip! I just looked up my businesses on my state's portal and they're definitely LLCs. I guess I need to do the BOIR filing after all. Do you know if there's any easy way to complete it without hiring someone? I have 3 properties/LLCs so it seems like it could get expensive fast.

The BOIR filing isn't too complicated if you're a single-member LLC. You'll need to create an account on FinCEN's BOI E-Filing System, and then provide basic information about yourself as the beneficial owner (name, address, ID number) and your company (legal name, address, formation info). Since you're both the company applicant (person who formed the LLC) and the beneficial owner (person who owns/controls it), it's pretty straightforward. If you have all your formation documents handy, you can probably complete all three filings in 1-2 hours. Much cheaper than paying someone hundreds of dollars per LLC!

Do you happen to know what the penalties are if you miss the deadline? I have a bunch of single member LLCs and I'm traveling until mid-January.

The penalties can be pretty severe - civil penalties up to $500 per day for violations, and criminal penalties up to $10,000 and/or imprisonment up to 2 years for willful violations. But I wouldn't stress too much about your mid-January return if you're making a good faith effort to comply. Government agencies rarely begin aggressive enforcement immediately after a new filing requirement. That said, you should probably at least create your FinCEN account before you leave and maybe start gathering the information you'll need.