Friday, March 7, 2008

Tax preparation businesses keep up with the latest tax rules

For area tax professionals like Mike Martin, experience may be the best teacher when it comes to understanding the lively practice of tax preparation.

Martin launched Independence-based Mike Martin & Associates Inc. after working nearly two decades as an executive for H&R Block Inc.

Despite competition from new tax preparers and do-it-yourself software, Martin and his staff typically realize a steady increase in the number of new faces that come in every year for tax services.

“We usually experience an 18 to 20 percent increase in new clients, which replaces the number that pass away or move away,” Martin said. “This year, we’re already seeing a 22 to 23 percent clip in new business.”

Numerous Kansas City accounting firms and bookkeeping services posted significant increases in the number of individual and business returns they completed in 2007, compared with the previous year.

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