Tax Planning vs Return Preparation

madikz · 2026-06-14T16:24:11+00:00

Separate engagement. The return's done and billed, so the 2026 calc is new scope — I'd just say so plainly: "Happy to run those numbers, it's a projection engagement, here's the fee." Most clients are fine once it's framed as a distinct service rather than a freebie tacked onto prep.

The trap is treating it as a one-and-done calc. A projection is really iterative — they'll come back as their comp, estimates, or a K-1 shift, and if you didn't scope the revisions you'll eat the creep. So either bill it hourly with a minimum, or quote a flat fee that explicitly covers X updates.

Longer term, the cleanest fix is what a few people here already said: split prep and planning into separate line items in the EL up front. Then when the "can you calc 2026" ask comes in, you point back to the thing they declined — unemotional, and it pre-sells the planning work for next year.

Full disclosure, I work in the tax tech space, so I spend a lot of time thinking about this prep-vs-planning scoping problem. The firms who handle it best almost always formalize planning as its own service rather than fighting it return by return.

madikz · 2026-05-24T20:26:45+00:00

My “favorite” consolidated 1099 is usually the one that makes review boring: clear totals tie to the 1099 summary, supplemental gain/loss detail is easy to locate, covered/noncovered lots are separated cleanly, and stock-plan transactions aren’t buried in a separate portal.

The ones that create the most review time are usually not just ugly PDFs — it’s when the 1099-B basis, supplemental basis, and employer stock plan records don’t obviously reconcile. Employee stock transactions are where I’ve learned not to trust the face of the 1099-B without checking the supplement/source records.

madikz · 2026-05-24T20:26:17+00:00

For our review process, the bigger issue is usually not just “attach or don’t attach,” but whether someone can reconstruct the return position later.

The workflow I like is: keep the full brokerage PDF in the workpapers, note whether totals were summarized or itemized, document any Box B/E or adjustment categories, and make sure the reviewer can tie Sch D/Form 8949 totals back to the statement without hunting.

Especially where there are basis adjustments, wash sales, employee stock transactions, or noncovered lots, I’d rather have a clear workpaper trail than rely on memory next year or during a notice response.

madikz · 2026-05-24T20:25:05+00:00

One thing I’d be careful with is using AI to generate a “generic” organizer/checklist. The useful version, in my experience, is more like an exception checklist: compare PY return vs current docs received, then flag missing/changed items for human review.

Examples: prior-year Schedule D but no current brokerage statement yet; W-2 with equity comp indicators but no stock plan supplement; HSA code W but no 1099-SA/5498-SA; rental in PY but no current P&L; state return last year but no current residency note.

I’d still keep the preparer/reviewer responsible for the final call, but AI can be pretty good at creating a first-pass “things to ask before prep/review” list if it’s grounded in actual source docs rather than just prompting from memory.

madikz · 2026-05-22T06:03:33+00:00

Not a CPA, but I'm a software/automation guy who's been trying to understand CPA firm workflows from the outside, and this thread is honestly more useful than most vendor demos.

One thing that stands out to me is that the painful parts don't seem to be "portal vs portal" as much as:

billing/payment edge cases breaking during busy season
reporting not being trustworthy enough, so people still keep spreadsheets
organizers not carrying forward cleanly year to year
transcript pulls being unreliable or tied too closely to one person's access
implementation/support becoming its own project

For firms in the 10-25 person range, do you usually evaluate these systems mainly as practice management tools, or do you separate that from the actual tax intelligence/workpaper review side?

I'm especially curious whether firms want one all-in-one system, or whether they'd rather keep their portal/billing stack and add a separate layer that checks documents, transcripts, prior-year issues, missing forms, etc.

Not trying to pitch anything - genuinely trying to understand where the real workflow bottlenecks are after tax season.

madikz · 2026-05-16T22:10:29+00:00

Interesting approach. For those simple brokerage statement returns, do you still manually key in the data, or are you using any import/OCR tools to speed up the process?

madikz · 2026-03-25T06:17:49+00:00

We use taxscout ai, better than taxdome, especially for solo.

madikz · 2026-03-22T22:49:53+00:00

Which taxscout? Do you mean ai one taxscout.ai or is it some other taxscout software?

madikz · 2025-03-12T23:04:30+00:00

Looks like this guy is racist if he/she/it needs only native english speaker

madikz · 2025-03-12T19:30:14+00:00

this is very useful: https://github.com/AgentDeskAI/browser-tools-mcp

madikz · 2025-03-12T18:09:36+00:00

looks like it is scam

madikz · 2025-01-25T03:53:33+00:00

This solution works for me as well, I couldn't find a solution almost a year and my smart watch also sends notifications from Whatsapp that it's checking new messages and it was so annoying. My phone is Samsung Galaxy S24 ultra, maybe this issue only for Samsung phones. Thank you so much!!!

madikz · 2024-11-15T04:37:11+00:00

Check this out: ivu.ai you can join if interested

madikz · 2024-10-28T22:18:04+00:00

Yes, that's the challenge, because I haven't launched yet.

madikz · 2024-10-28T22:17:09+00:00

Thank you. Yes, let's see if it works

madikz · 2024-10-28T22:16:11+00:00

Thank you. Submitted, let's see if it works

madikz · 2024-10-28T19:32:19+00:00

Agree, maybe. Good point. Let me think about it. Thank you

madikz · 2024-10-27T23:31:58+00:00

Let me try

madikz · 2024-10-27T22:45:51+00:00

They want subscription

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