How to Hire a Tax Accountant: Step-by-Step Guide

To hire a tax accountant, first decide what you need (a return, planning or help with a notice), then verify credentials, request written quotes with the same scope, interview two or three candidates, sign an engagement letter and send documents securely. The whole process can take a week or two if you start early, and a few hours of care at the beginning can prevent months of trouble afterward.

The steps below apply whether you are an individual, a freelancer or a small business owner. Use the pre-hire checklist to track them.

Step 1: Define what you need

Write down the service you want in a sentence or two. Examples:

• "Prepare my federal and state individual returns for 2025. I have two W-2s and some stock sales."
• "Prepare my S corporation return and my personal return, and advise me on estimated payments."
• "Respond to an IRS notice about unreported income."

The service determines who is the right professional. A seasonal preparer may suit a simple return, but a notice or planning question calls for a CPA, enrolled agent or tax attorney. See CPA vs enrolled agent vs software.

Step 2: Build a shortlist

Sources for names include:

• referrals from friends, family or other business owners with similar situations,
• your state CPA society or the National Association of Enrolled Agents directory,
• the IRS directory of federal tax return preparers,
• professionals your bank, attorney or financial advisor works with.

Pick two or three candidates. Avoid choosing solely from an advertisement or a seasonal storefront without checking credentials.

Step 3: Verify credentials

Before you share documents, confirm:

1. PTIN: anyone who is paid to prepare a federal return must have a Preparer Tax Identification Number and enter it on the return.
2. CPA license: check with the state board of accountancy in the state where the CPA is licensed, and look for any disciplinary history.
3. Enrolled agent status: use the IRS directory of preparers with credentials.
4. Attorney bar status: check the state bar for a tax attorney.
5. Complaints: search your state attorney general or consumer protection office, and the Better Business Bureau as one data point among others.

The guide to choosing the right provider goes further.

Step 4: Ask the right questions

On the first call, ask:

• How many returns like mine do you prepare each year?
• Who will actually prepare and who will review my return?
• How do you charge, and what is included?
• What do you charge for an extension, an amendment and a notice?
• How do you protect and transmit my documents?
• Will you sign the return and give me a copy?
• What is your availability in the weeks before the deadline?

Listen for clear, direct answers. Be cautious if the person is vague about price, dismissive about questions or pushes you to decide immediately.

Step 5: Compare written quotes

Ask each candidate for a written quote describing the scope. Use the table in our guide on how to lower your tax prep bill to compare them on the same items. If a quote seems far lower or higher than the others, ask why. Use the fee estimator to test whether the price implies a sensible number of hours.

Step 6: Sign an engagement letter

A good engagement letter is not a formality. It should state:

• the services and tax years,
• what the professional will and will not do (for example, bookkeeping or audit representation),
• the fee and how it is billed,
• what you are responsible for providing and by what date,
• how revisions and extra work are handled, and
• how the relationship ends.

Read the full details in engagement letters and IRS forms. Do not send documents until you have a signed letter you understand.

Step 7: Send documents and review the return

Share documents through a secure portal rather than ordinary email when possible. After the preparer sends the draft return, review it:

• names, Social Security numbers and dates of birth,
• income totals compared with your documents,
• filing status and dependents,
• bank account and routing numbers for refunds or payments,
• the amount due or refund.

Ask about anything you do not understand. You are legally responsible for the return you sign or authorize, even when a professional prepared it. If the preparer files electronically, you typically sign an authorization such as Form 8879. Never sign a blank or incomplete return.

A realistic timeline

Hiring in the off-season usually gives you more of the professional's time and often better availability. See the timeline guide.

Common mistakes when hiring

• Hiring based only on the lowest price or the biggest promised refund.
• Not verifying credentials.
• Giving away documents before the engagement letter is signed.
• Not asking who will actually prepare the return.
• Assuming that notices and audits are covered by the base fee.

Frequently asked questions

When is the best time to hire a tax accountant?

Before you need help in a hurry. The off-season, from May to December, is often easiest, but you can hire during filing season if a firm has capacity.

Should I meet in person?

Not necessarily. Many professionals work remotely. What matters is credentials, communication, security of documents and a clear engagement letter.

What if I already have a notice?

Gather the notice and prior returns, and find an EA, CPA or tax attorney with notice experience. Pay attention to response deadlines on the notice.

How many candidates should I interview?

Two or three is usually enough to compare scope and price without wasting time.

Sources

• Internal Revenue Service — choosing a tax preparer, PTIN requirement and preparer directory
• National Association of State Boards of Accountancy — verify a CPA through your state board
• National Association of Enrolled Agents — find an enrolled agent

This guide is general information and not tax advice. A licensed professional should advise you on your specific facts.