Tax preparation is the process of organizing, calculating, and filing federal, state, and local tax returns based on a year that has already happened. It covers gathering income documents, applying the correct deductions and credits, completing the right forms for each entity or individual, and submitting everything by the deadline.
Where tax planning looks forward and shapes decisions before the year closes, tax preparation looks backward and reports what already occurred. Preparation tells the IRS what happened. Planning determines how much you owe in the first place. Tax By Design does both, but this page covers preparation on its own, for anyone who needs an accurate, timely return filed correctly.
For simpler returns with limited planning needs, Tax By Design offers an integrated package where we offer planning suggestions as part of your annual filing.
Tax filing is the act of submitting a completed tax return to the IRS and any applicable state or local agency, based on the calculations and forms preparation that has already finished. It covers submitting the return electronically, confirming it has been received and accepted, and meeting the deadline that determines whether you owe additional tax or are due a refund.
Where tax preparation is the work of getting a return ready, tax filing is the act of submitting it. Preparation calculates what’s owed. Filing submits it and confirms the IRS has it. Tax By Design tracks every return through both steps, so a return that’s correct on paper still counts as filed on time.
The increasing quality of DIY software and AI capabilities means that more people are turning to these tools to prepare their taxes. For individuals with very simple returns, DIY tools are clearly the right choice. However, if your financial situation falls outside of this category, there are several key factors you need to consider before making that decision.
Yes, for anyone whose return has outgrown a simple W-2. Beyond a correct filing, the value is threefold: the time saved from not preparing a complex return yourself, the peace of mind that it was done right the first time, and having a tax professional who already knows your returns to escalate to the moment a notice, an audit, or a mid-year decision arises. Once 1099 income, multi-state filing, equity compensation, or rental activity is involved, a single missed election or misfiled form usually costs more than the preparation fee itself.
Trusted Tax Preparation for Foreign Owners of US Businesses
Getting a return right starts with matching income and deductions to the correct forms. We handle every W-2, 1099, and investment or rental detail from intake through submission. What our individual tax return service includes:
Business income is only reported correctly when it lands on the right form for the right entity. We prepare Forms 1065, 1120-S, and 1120 to match your actual structure. What our business tax return service includes:
A federal return alone doesn’t close the year if a state or local return is also owed. We cover every jurisdiction you have an obligation in, as one engagement. What our federal, state, and local filing service includes:
Earning income in more than one state means more than one set of rules. We apportion income correctly and file every required state return. What our multi-state tax return service includes:
Self-employment income carries its own tax and its own form. We calculate it as what it is, not as wage income. What our self-employment and 1099 income service includes:
Every trade has a cost basis and a holding period, and getting either wrong changes what’s owed. We reconcile your broker statements against what’s actually filed. What our investment and capital gains reporting service includes:
Rental income is taxed differently once depreciation and expenses enter the picture. We track both across every property you own. What our rental real estate tax return service includes:
Vested and exercised equity shows up on a W-2 and a 1099-B differently, and missing that difference is one of the most common self-filing errors. We reconcile both before the return is filed. What our equity compensation reporting service includes:
Underpaying during the year creates a penalty regardless of what’s owed in April. We size each quarterly payment against real, current-year income. What our estimated tax calculation service includes:
An extension buys time to file, not time to pay. We pair the filing with an accurate estimated payment, so the extension doesn’t quietly turn into a penalty. What our tax extension service includes:
A missed form or a corrected 1099 doesn’t go away on its own. We file the correction and any catch-up returns still owed. What our amended and prior-year return service includes:
An IRS notice is easiest to resolve when it’s read correctly the first time. We start by reading what the IRS is actually asking, before drafting a response. What our IRS notice and audit support service includes:
Business Owners & Founders
Entity-specific forms, from Schedule C to Form 1120-S, only produce the right result when they match how the business is actually structured. We match the return to the entity and catch deductions a generic filer would miss.
Startups & Startup Founders
First-year filings carry decisions, like stock issuance and QSBS reporting, that are easy to file incorrectly if they haven't been seen before. Getting them right from year one avoids a costly correction later.
Professionals with Equity Compensation
RSUs and ISOs are reported through both a W-2 and a 1099-B, and treating them as one or the other usually means double-counted or missed income. We reconcile both before the return is filed.
High-Income & Multi-Income Households
Salary, business, and investment income each carry different reporting rules, and combining them correctly is where most self-filed returns go wrong. We consolidate every income stream into one accurate return.
Investors & Real Estate Owners
Capital gains and rental depreciation both depend on records kept correctly over time, not just in the year of the return. We track both so what's reported matches what actually happened.
Self-Employed Professionals & Consultants
Self-employment tax and deductible expenses are calculated together, and missing either changes what's owed in either direction. We calculate both against your actual business activity.
Individuals with Complex Federal & Multi-State Returns
Filing in more than one state means apportioning income correctly and avoiding double taxation on the same dollar. We file every required state return as one coordinated return, not several separate guesses.
Ensures Accurate, Compliant Filing
Every return is checked against source documents before it's filed, not just against what software calculates automatically. Accuracy at filing is what prevents a correction later.
Maximizes Deductions & Credits
A trained preparer looks for deductions and credits a standard filing tool isn't built to find, from home office expenses to depreciation timing. What software misses, a preparer catches.
Reduces Audit Risk
Returns prepared with full documentation and correct classification are less likely to trigger a mismatch with the IRS. Getting it right the first time is the best defense against a notice.
Saves Time During Tax Season
Gathering, calculating, and filing a complex return independently can take days. Handing it to a preparer returns that time to running a business or managing a household.
Year-Round Support for Notices & Amendments
Support doesn't end when the return is filed. If a notice arrives or a correction is needed months later, the same team that filed the return handles it.
Having the right documents ready before your appointment is what keeps preparation fast and the return accurate. Below is what most clients need to bring, though we’ll confirm anything specific to your situation during intake.
Organize Your Documents
We start with an intake checklist so nothing is missing before preparation begins. A complete document set the first time is what keeps the process fast rather than back-and-forth.
Review Prior Returns & Financial Records
We check prior-year returns and current records for consistency, carryovers, and anything that needs to carry forward correctly. This baseline catches inherited errors before they repeat.
Prepare Federal, State & Local Returns
Returns are drafted across every jurisdiction where a filing is owed, from the federal return to state, local, and multi-state filings. Nothing is left for a client to file separately.
Verify Accuracy & Compliance
Every return is reviewed a second time against source documents before anything is submitted. This is where a missed 1099 or a misclassified expense gets caught.
File & Confirm Submission
Returns are filed electronically and confirmed directly with the client, so there's no uncertainty about whether or when a return was accepted.
CPAs & Enrolled Agents on Staff
Every return is prepared or reviewed by a credentialed CPA or Enrolled Agent, not a seasonal or unlicensed preparer. Credentialed staff also means IRS representation is available under the same roof if a notice ever arrives.
Accurate, Audit-Ready Filing
Returns are documented to the standard that would hold up if the IRS asked questions later, not just to the standard of getting filed on time. That documentation is what turns "filed" into "defensible."
Personalized, Year-Round Support
We don't disappear after the return is submitted. If your situation changes or a notice arrives months later, the same team that filed your return is the one that handles it.
Multi-State & Complex Return Expertise
Returns involving multiple states, equity compensation, or rental and investment income are handled as a standard part of our practice, not as an exception. Complexity doesn't slow down accuracy.
Regional Expertise — Colorado Front Range & New York Metro
Local filing requirements, from NYC's Unincorporated Business Tax to Colorado's flat state rate and Denver's Occupational Privilege Tax, are built into how we prepare every return in these regions.
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