Don’t Go Solo: Engaging with your Sole Proprietor Clients

According to data released by the Census Bureau, 2021 was a banner year for startups and sole proprietorships, with business filings increasing in states whose start-up success represents the highest number of new businesses on record, dating back to 2004, when the figures were first compiled. More business filings translate into an increased number of sole proprietorships and other Form 1040, Schedule C filers with tax questions.  With the 2021 filing season upon us, let’s review the process by which tax practitioners liaise with their sole proprietor clients by reviewing the client/taxpayer engagement letter, the intake interview, and a comprehensive tax return checklist to help ensure that your sole proprietor clients submit the appropriate documents so you can prepare and file an accurate and timely tax return.

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