Tax Preparation In Ann Arbor, MI

Most Michigan residents are required to file a federal and state individual income tax return each year. Even if your situation seems straightforward, there are questions that should be addressed to make sure you receive the largest refund you are entitled to and avoid future problems with the IRS. Austin & Larson provides tax preparation in Ann Arbor, MI that goes beyond filling in boxes on a form.

Our team reviews your complete financial picture with you before preparing your return. We discuss your filing status, dependents, deductions, and credits to make sure every decision is made in your best interest, not just for this year but for the years ahead.

For example, many married taxpayers file jointly because it produces a larger refund. What they do not realize is that joint filing makes both spouses liable for any future balance on that return. If the return is later audited, both spouses are responsible for additional tax assessed, even if they have since divorced. These are the kinds of decisions that a tax preparation firm with resolution experience thinks about and that a standard preparer may not consider.

Common questions our Ann Arbor clients ask during individual tax preparation include who can be claimed as a dependent, how to value non-cash charitable donations, whether home improvements are deductible, and how to handle income from direct sales or side businesses. We answer all of these and make sure your return is prepared correctly from the start.

Michigan businesses face a complex web of federal and state filing requirements that vary by entity type. Austin & Larson Tax Resolution prepares tax returns for S-Corporations, C-Corporations, partnerships, and LLCs, along with all associated payroll and state filings. We help Ann Arbor business owners stay in compliance and avoid the costly penalties that come from missed deadlines or incorrect filings.

An S-Corporation, for instance, must file an annual corporate return, quarterly payroll returns (Form 941), annual unemployment returns (Form 940), and make regular payroll tax deposits to the IRS. The business may also owe Michigan sales tax returns and State of Michigan withholding returns. Missing any of these can result in large penalties. More seriously, the IRS can assess unpaid payroll taxes against business owners personally through the Trust Fund Recovery Penalty.

We check with the IRS to verify which returns have been filed and which still need to be filed. If your business has fallen behind, we prepare and file all missing returns and help you put systems in place so your business stays in compliance going forward.

If you have unfiled tax returns from prior years, Austin & Larson Tax Resolution specializes in preparing and filing them, regardless of how many years are missing or the condition of your records. This is one of the services that sets our tax preparation in Ann Arbor, MI apart from standard accounting firms and national chains.

Many taxpayers avoid filing back returns because they have lost their records to moves, fires, or floods. Others simply do not know where to start after missing several years. Standard tax preparers often turn these clients away because the work is too complex or time-consuming.

At Austin & Larson, we handle back tax returns every day. We pull your IRS Wage and Income Transcripts to reconstruct your income history, identify deductions you may have missed, and prepare returns that accurately reflect your tax situation for each year. Whether you need one year or ten years of returns filed, we get you current with the IRS and the State of Michigan.

Getting your back returns filed is also the first step toward resolving any existing tax debt. The IRS will not approve an installment agreement, Offer in Compromise, or other resolution program until all required returns are filed. Preparing these returns accurately, and in a way that minimizes your total liability, can make a significant difference in your resolution outcome.

Years of preparing Michigan individual and business tax returns have given Austin & Larson deep insight into the mistakes that lead to audits, assessments, and unexpected tax bills. Avoiding these errors starts with choosing the right preparer.

Some of the most common errors we see include:

• Failing to carry over S-Corporation income. If you own an S-Corp, the income from your corporate return must flow through to your personal return. Failing to include it is one of the most common and costly mistakes.
• Not paying yourself a reasonable wage from your S-Corp. The IRS requires S-Corporation owners to pay themselves a reasonable salary. Skipping this step or underpaying yourself triggers IRS scrutiny and penalties.
• Missing income items. Every W-2, 1099, and other income document you receive is also reported to the IRS. If your return does not match what the IRS already has on file, you will hear from them.
• Claiming personal expenses as business deductions. Personal meals, clothing, and non-business travel are not deductible. Mixing personal and business expenses is one of the fastest ways to trigger an audit.
• Incorrect filing status. Choosing the wrong filing status (such as Head of Household when you do not qualify) can result in a larger refund now but serious problems later if the IRS reviews your return.
• Missing dependents and deductions. On the other side, many taxpayers leave money on the table by not claiming dependents or deductions they are legally entitled to.
• Bridgette Austin, JD, EA, and our team review every return for these and other common issues before filing. Our goal is to prepare a return that is both accurate and positions you favorably if the IRS ever takes a closer look.

The person who prepares your tax return affects the accuracy of your filing, the size of your refund, and your risk of future IRS problems. Incorrect or fraudulent tax returns can lead to audits, additional assessments, or even criminal charges. Austin & Larson Tax Resolution provides credentialed, experienced tax preparation in Ann Arbor, MI that you can trust.

Anyone with an IRS Preparer Tax Identification Number (PTIN) can legally prepare your return. But that does not mean every preparer is equally qualified. Here is what to look for.

• Credentials matter. IRS Enrolled Agents, CPAs, and tax attorneys can all represent you before the IRS if questions arise after filing. A preparer with only a PTIN cannot. Austin & Larson has all three credential types on staff.
• Experience with your situation matters. A preparer who handles simple W-2 returns may not understand the complexities of self-employment income, rental properties, or S-Corporation filings. Make sure your preparer has experience with your specific tax situation.
• Resolution awareness matters. If you owe or may owe the IRS, your return needs to be prepared with resolution in mind. Filing decisions made today directly affect what resolution options you qualify for tomorrow. This is where Austin & Larson’s dual expertise in preparation and resolution gives you an advantage that standard preparers cannot offer.

Austin & Larson Tax Resolution follows a thorough, client-centered process for every return we prepare. Whether you are filing a single individual return or catching up on years of back taxes, here is what to expect.

Step 1: Free Consultation

We sit down with you at our office (or by phone) to understand your tax situation, filing history, and goals. This meeting is free and confidential.

Step 2: Document Collection and Review

Dustin Larson, EA, CPA, and our team gather all necessary documents, including W-2s, 1099s, business records, and any IRS notices. For back tax returns, we pull IRS transcripts to reconstruct your income history.

Step 3: Return Preparation and Review

We prepare your federal and Michigan state returns, reviewing every line item for accuracy, proper deductions, and potential audit triggers. We discuss your filing options and explain how each decision affects your bottom line.

Step 4: Filing and Confirmation

We file your returns electronically (when available) to speed up processing and get your refund faster. You receive confirmation of filing and copies of all returns for your records.

Step 5: Year-Round Support

Our relationship does not end at filing. We are available year-round to answer tax questions, help with estimated payments, and address any IRS correspondence related to your return.