Who’s really doing tax returns in New York for $200?

General
1

Had a call from someone shopping around. They’re a joint filer with two single-member LLCs, no bookkeeping done all year, and W-2 income. Their current preparer raised the fee from $200 to $250, and they’re asking if I can do it for less. Who even are these people?

2

I had a client with Schedule A, B, two C’s, and a D. Their last accountant charged $179. I charged $700, and they were shocked.

3

Vale said:
I had a client with Schedule A, B, two C’s, and a D. Their last accountant charged $179. I charged $700, and they were shocked.

This person’s pricing feels like it’s based on IRS codes.

4

@Nico
Every 1040 should cost at least $1,040.

5

Valentine said:
@Nico
Every 1040 should cost at least $1,040.

Truer words have never been spoken.

6

@Nico
I bet they charge $50 for the 8879 on an itemized bill. Respect the hustle.

7

Vale said:
I had a client with Schedule A, B, two C’s, and a D. Their last accountant charged $179. I charged $700, and they were shocked.

I need to find another firm. My boss charges $400 for something like that.

8

@Vale
And I’m on the low end. Some folks here have minimums of $500–$600. I just bumped mine to $300.

9

Vale said:
@Vale
And I’m on the low end. Some folks here have minimums of $500–$600. I just bumped mine to $300.

Our firm loses money on tax returns every year. Most of our time is spent on audits, and we just stop to handle taxes for three months.

10

@Vale
Then why bother if it’s a loss?

11

Vale said:
I had a client with Schedule A, B, two C’s, and a D. Their last accountant charged $179. I charged $700, and they were shocked.

TurboTax is charging $999 for business returns now. Just saying.

12

@Justice
Funny how they lobby to keep taxes complicated, then charge you for it.

13

The race to the bottom for orphan 1040s is real. Even H&R Block charges more than $250. I wouldn’t touch that return for less than $500, maybe $600 this late in the season.

14

Quillan said:
The race to the bottom for orphan 1040s is real. Even H&R Block charges more than $250. I wouldn’t touch that return for less than $500, maybe $600 this late in the season.

In Maryland, two Schedule C’s with no bookkeeping? That’s $1,500 minimum after tax season.

15

@Benn
Exactly. ‘See you in May, and make sure you file for an extension and include an estimated payment.’

16

@Benn
I didn’t even notice the no-bookkeeping part. With everything ready to go, I’d still charge $500–$600.

17

Quillan said:
The race to the bottom for orphan 1040s is real. Even H&R Block charges more than $250. I wouldn’t touch that return for less than $500, maybe $600 this late in the season.

Block would charge way more than $250, and they’d want your books in order.

18

Quillan said:
The race to the bottom for orphan 1040s is real. Even H&R Block charges more than $250. I wouldn’t touch that return for less than $500, maybe $600 this late in the season.

H&R and similar places are running themselves into the ground. How do they even stay in business?

19

@Briar
Their preparers make close to minimum wage, last I checked.

20

Quillan said:
@Briar
Their preparers make close to minimum wage, last I checked.

Makes sense. We’ve amended enough of their returns to know they’re clueless.