Whether you’re a business owner or an individual who needs assistance with tax preparation, you’ll likely seek out the help of a CPA or an accountant. Both professionals provide essential tax assistance, but some of their roles and responsibilities are different. Here is a helpful guide on their unique distinctions.

CPAs

Certified public accountants, or CPAs, have the training to assist their clients with bookkeeping and tax preparation services. They also have the authority to prepare audited, reviewed, and compiled financial statements for businesses and public firms. They’re only able to perform these duties after obtaining state licensing and meeting certification requirements.

CPAs can also serve as fiduciaries. This means their client may grant them permission to act on their behalf in legal, estate and trust issues, and other financial matters. That authority can extend to representing clients in IRS audit meetings as well. 

Accountants

Like CPAs, accountants offer bookkeeping and tax preparation services to both business owners and individuals. Their duties also include overseeing general business accounts, working with a company’s compiled financial statements, managing payroll and calculating state and federal taxes. 

However, accountants don’t have the regulatory authority to serve as their client’s fiduciary or represent them in IRS audits. While they can deal with a business’s compiled financial statements, they aren’t certified to handle audited documents.

Dianne M. Saunders, CPA has provided professional accounting and tax preparation services to a wide range of businesses since 1992. Based in Litchfield, CT, she has earned a reputation for offering personalized and quality service for clients throughout the surrounding areas. She will take the time to listen to your unique situation and ensure your needs are met. To learn more about her services, connect with her online, and call (860) 567-3022 to schedule a consultation.