The Business
Tax preparation is highly seasonal (January-April) but concentrated. Simple returns pay $150-250; business returns $400-1,500+. Enrolled Agents (EA) can represent clients before the IRS and handle complex situations at premium rates. Year-round services (estimated taxes, tax planning, bookkeeping) extend income beyond the filing season.
How to Start
Register for a PTIN (free from IRS). Buy professional tax software (Drake, ProSeries, $500-1,500/year). Start by doing returns for friends and family. Market heavily January through March. After 3 seasons consider the Enrolled Agent exam (opens doors to $300-1,000+/hour tax planning work).
Equipment Needed
- ▸Tax software
- ▸Computer
- ▸Printer
- ▸Secure file storage
- ▸E-file subscription
Licensing
PTIN from IRS; EA or CPA for complex returns
Monthly Search Volume
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“Tax prep is one of the most defensible local businesses. Customers return every year without marketing effort. A good tax preparer with 200 clients doing $250 average does $50K in 3 months.”
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