Today's Technology for Tomorrow's Firm.
Issue link: https://cpapracticeadvisor.epubxp.com/i/58700
GREAT PRACTICES L 22 April 2012 LISA EDWARDS RICHARDS PC, CPA Demystifying the IRS Simplifying IRS representation services by partnering with the right technology. isa Richards has been in the tax and accounting game for many years, so she is more than aware of the time investment and frustration that can come with working with the IRS."Handling IRS issues for clients has traditionally been difficult and time consuming. The process can be slow and complex, and that does not go over well with clients who are anxiously waiting for a reso- lution, and want it now. It has been hard for clients to wait, and understand how long it sometimes takes to get the notice resolved," stated Richards. Adding to the issue, this year the IRS is stepping up eff orts to collect. Due to the growing tax gap (an esti- mated $345 billion), fi rms can expect far more client IRS notices coming through the door. To give accounting professionals a clear picture of what is to come, consider that since 2001 notice volume has increased 670%—and it is projected to rise in 2012. "Once a client receives an IRS notice for whatever reason, the subsequent notices are coming in every 30 days like clockwork. T e IRS has escalated the turnaround timeframe across the board, resulting in the 'crossing in the mail' syndrome if you do not answer the notice immediately upon receipt," Richards stated. "Almost always, the notice requires research, which makes it more diffi cult to answer it immedi- ately and stay within the window for response before the next let er is kicked out of the IRS system." Richards is not surprised by the increase in notices. Having been in the IRS representation business for 26 years, she's followed the trend carefully. Her main concern has always been focused on resolution for the client, as well as creating an internal process to make IRS work easier. To accomplish both, she researched and implemented an advanced IRS response applica- tion—Beyond415."Dealing with the IRS is time-consuming. T ere is so much information to dig through to ensure that you understand the issue; have the right client information, documentation, forms, worksheets, and addresses; draſt the response let er STATS AT A GLANCE Year founded: 1989 Total employees: 3 Home base: Deer Park, TX Firm website: lisarichardscpa.com Firm description: Offers tax, accounting, and business consulting services Technology of Choice: Beyond415, Drake, EZ Acct, QuickBooks, Sage Business Works correctly; and everything else that goes along with resolving a notice," stated Richards. "Until recently, there were no IRS-specifi c issue management applications to simplify the process of working with the IRS. However, within the last few months, I discovered Beyond415, and it's been a true game changer." Building a Lucrative New Revenue Stream With the rise in IRS notices, Lisa Richards fully expects more clients coming through her door. She also knows every client will want their issue resolved in a timely manner. Until recently this has always been a major concern because handling IRS notices took so much time. But today, with the right technology in place, Richard's vision is to increase her fi rm's IRS representation workload and solve client IRS issues timely and eff ectively. "I currently have 25 IRS cases in progress," Richards stated. "And I welcome many more, because I now have the technology in place to streamline the workfl ow. T e process within the application [Beyond415] is so organized and comprehensive. I can fi nd any type worksheet I need, get regular IRS updates, and access a tremendous amount of IRS practice and procedure 'functioning' related research all in the same app. It's never been this easy to deal with IRS issues, which means I can handle more cases in less time." Richards' goal is to signifi cantly grow her IRS representation client base. "T is will become a major new revenue stream for my fi rm. I can easily triple the number of cases I have now, process them efficiently and cost eff ectively, and most importantly have pril 2012 • www.CPAPracticeAdvisor.com CPAPracticeAd isor com all the proper documentation at my fi ngertips. I can accomplish this with minimal additional staff and tech outlay." Since implementing the IRS response system in December 2011, the process for completing and docu- menting IRS work has vastly improved. Richards spends far less time on trying to stay organized, follow up, and research, which translates into higher realization rates. "I discovered the application just months ago, and it has made my life so much easier. T e system is packed with valuable templates, explanations, practice tips, pop-up reminder notes, and a secure client portal. It also off ers