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TAX & AUDIT SERVICES

At Arcane Accounting we want our clients to be covered during the year. We partner with seasoned CPAs to make sure all your needs are met and all of your questions are answered! This includes ensuring that your taxes are prepared and filed in a timely and accurate manner while maximizing any deductions and/or credits you may be eligible for. Whatever your tax needs are, our team and our partnered CPAs have you covered!

TAX PREPARATION

Preparing your own income tax return can be a task that leaves you with more questions than answers. According to a study released by the US Government’s General Accounting Office last year, most taxpayers (77% of 71 million taxpayers) believe they benefited from using a professional tax preparer.

​Whether we like it or not, today’s tax laws are so complicated that filing a relatively simple return can be confusing. It is just too easy to overlook deductions and credits to which you are entitled. Even if you use a computer software program there’s no substitute for the assistance of an experienced tax professional.

​Here’s what your get…

  • Your tax return will be checked and rechecked by our computer software identifying potential problems the IRS may look at more closely and reviewing the math to limit IRS contacts.

  • Your tax return can be filed electronically so you will get a refund back quicker.

  • Our staff will show you how to adjust your payroll withholding to get more money back each week. Why give the IRS an interest free loan for up to 16 months.

  • We will show you potential deductions to limit your tax liability for next year. In addition, we will give you a sheet of commonly overlooked deductions to limit the following year’s tax liability.​

 

Books a Mess? No Problem!

If you own a small business and haven’t kept up your bookkeeping, don’t worry. We can help you. We’ll prepare your bookkeeping for the year, prepare a full Schedule C, as well as your personal income tax return. Then we’ll help you set up an easy system that allows you to keep your books in tip-top shape next year.

Tax Preparation

TAX PROBLEMS

Tax problems are very common and you’re not alone. Every year, millions of taxpayers face a problem with the IRS.

 

We can help you with:

Tax Problems

TAX SOLUTIONS

Every problem has a solution, even tax problems. Our experts will find the best solution for your situation to get you back on track.

 

We can help you with:

Tax Solutions

ASSURANCE SERVICES

Stockholders, creditors, and private investors often need assurance that the financial statements accurately represent the true financial position of a company.

​Your stockholders, creditors, or private investors have different levels of risk tolerance, so we provide three levels of assurance to meet your needs.

Audits

HIGHTEST LEVEL OF ASSURANCE

An audit provides the highest level of assurance. An audit is a methodical review and objective examination of the financial statements, including the verification of specific information as determined by the auditor or as established by general practice.

 

Our work includes a review of internal controls, testing of selected transactions, and communication with third parties. Based on our findings, we issue a report on whether the financial statements are fairly stated and free of material misstatements.

 

An Audit allows you to:​​​​

  • ​Satisfy stakeholders such as employees, customers, suppliers and pressure groups, as well as the investing community, as to the credibility of published information.

  • Facilitate the payment of corporate tax, goods and services tax, and other taxes on-time and accurately, thereby avoiding interest, penalties, and investigations.

  • Comply with banking covenants.

  • Help deter and detect material fraud and error.

  • Facilitate the purchase and sale of businesses.

 

Here’s what you get:

 

​You get the highest level of assurance because we go outside your company to obtain more information. Typically, we’ll have written communication with:​

  • Your customers, to check outstanding receivable balances,

  • Your banks, to confirm cash or debt balances and terms,

  • Your vendors, to verify outstanding payable balances, and

  • Your attorneys, for information on pending or threatened legal action.

 

We also perform physical inspections by observing your inventory counting methods and perform test counts. We document and test each operating cycle, including sales and cash receipts, expenses and cash disbursements, and payroll. Our audit papers include a detailed work program to document the examinations and testing performed, as well as the client’s supporting work papers.

All public companies are required to have an annual audit, but some nonpublic entities must undergo an annual audit as well. These include local governments, not-for-profit agencies and other organizations receiving government grants.

 

​Moreover, some financial institutions require audits of nonpublic companies based on the financing amount and/or the bank’s assessment of the company’s risk. Also, companies with absentee ownership (such as those owned by investment firms, or individuals who no longer run the business) may order audits as checks of their management teams.

 

Review

LIMITED ASSURANCE

Less extensive than an audit, but more involved than a compilation, a review engagement consists primarily of analytical procedures we apply to the financial statements, and various inquiries we make of your company’s management team. If the financial statements or supporting information appear inconsistent or otherwise questionable, we may need to perform additional procedures.

​A review doesn’t require us to study and evaluate your company’s internal controls or verify data with third parties or physically inspect assets. Rather, a review report expresses limited assurance in the form of the statement: “We are not aware of any material modifications” for the financial statements to be in conformity with the Generally Accepted Accounting Principles (GAAP). Reviewed financial statements must include all required footnotes and other disclosures.

 

​Why might a business request a review engagement? It can be a good middle ground, providing the advantages of a CPA’s technical expertise without the work and expense of an audit.

Compilations

LOWEST LEVEL OF ASSURANCE

In compiling financial statements for a client, we present information that is the “representation of management” and expresses no opinion or assurance on the statements. Compilations don’t require inquiries of management or analytical procedures. Instead, we rely on our knowledge of accounting principles and a general understanding of your business.

​Banks often require compilations from an independent CPA as part of their lending covenants.

​Which Report Should You Use?

 

​Each type of financial statement report may suit specific circumstances, depending on requirements from your client’s bank or other parties, as well as meet budgetary needs.

 

​Understanding each report’s unique strengths and weaknesses can help you choose the most appropriate one. Please call if you have questions about which type of report is right for you.

 

​A review doesn’t require us to study and evaluate your company’s internal controls or verify data with third parties or physically inspect assets. Rather, a review report expresses limited assurance in the form of the statement: “We are not aware of any material modifications” for the financial statements to be in conformity with the Generally Accepted Accounting Principles (GAAP). Reviewed financial statements must include all required footnotes and other disclosures.

 

​Why might a business request a review engagement? It can be a good middle ground, providing the advantages of a CPA’s technical expertise without the work and expense of an audit.

Assurance Services
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