Resources
Frequently Asked Questions
Honest answers to the questions we hear most about CPAs, taxes, pricing, and what it’s like to work with us.
FAQ
General
What is a CPA, and why does it matter?
A Certified Public Accountant (CPA) has passed the Uniform CPA Exam, met state education and experience requirements, and keeps a state license through continuing education. The license comes with accountability that unlicensed tax preparers don’t face. For anything beyond a simple return (self-employment, business ownership, investments, major life events), a CPA brings both technical depth and professional accountability.
How is a CPA different from a tax preparer or bookkeeper?
In most states, anyone with an IRS preparer tax identification number can prepare returns; no credential is required. A bookkeeper records day-to-day transactions. A CPA is licensed, can represent you before the IRS, advises on tax strategy, prepares complex returns, and is held to professional and ethical standards. More in Do I Need a CPA or a Bookkeeper?
Do I need a CPA if my taxes seem simple?
Maybe not every year. Tax software handles straightforward W-2 returns reasonably well. But ‘simple’ situations often hide complexity: side income, a home sale, an inheritance, a life change. A CPA review can catch things software misses, and year-round planning can be worth more than the cost of the service.
Is it too late in the year to start working with a CPA?
It’s never too late, but earlier is usually better. October through December is prime planning season: there may still be moves to make before December 31, and starting before tax season means filing goes smoothly.
Do you work with clients outside of Idaho?
Yes. Regal Accounting is virtual-first and serves clients across the United States. Meetings happen by video or phone and documents are exchanged online, so geography is not a barrier.
FAQ
Personal Tax
What documents do I need to file my personal return?
We send every new client a tailored checklist after the consultation. Generally: W-2s and 1099s, last year’s return, Social Security statements (if applicable), mortgage interest and property tax statements, brokerage 1099-B/DIV/INT forms, charitable donation receipts, and records of any major life events. See our free checklists for the full list.
Should I take the standard deduction or itemize?
We calculate both and use whichever is larger. For 2026 returns (filed in 2027), the standard deduction is $16,100 for single filers and $32,200 for married couples filing jointly. Most people take the standard deduction, but homeowners with large mortgage interest, high state taxes, or significant charitable giving may benefit from itemizing.
I work from home. Can I deduct my home office?
Only if you are self-employed. W-2 employees cannot deduct a home office under current law. For self-employed individuals, the space must be used regularly and exclusively for business. We calculate both the simplified and actual expense methods and use whichever benefits you more.
I have freelance income on top of my W-2. How does that affect my return?
It adds a Schedule C and self-employment tax (15.3% on net self-employment income, with the Social Security portion capped each year). The upside: you can deduct legitimate business expenses and may be able to make tax-advantaged retirement contributions (SEP-IRA, Solo 401k).
What if I missed a past filing or made an error on a prior return?
Both are fixable. Unfiled returns can be brought current, and the IRS has payment plans and penalty relief options. Errors are corrected with an amended return (Form 1040-X). Addressing it proactively is almost always better than waiting.
FAQ
Business Tax
What business entity structures do you work with?
Sole proprietors, single- and multi-member LLCs, S-corporations, C-corporations, and partnerships. We also help new business owners choose a structure before they form, since that decision has long-term tax implications.
When should I consider an S-corp election?
A common rule of thumb is when net self-employment income is consistently above roughly $50,000 to $60,000 a year. An S-corp election lets you split income between a reasonable salary (subject to payroll tax) and distributions (not subject to self-employment tax). We run the numbers for your situation. See our business services.
How do quarterly estimated taxes work for business owners?
If you expect to owe $1,000 or more in federal tax for the year, you generally need to make quarterly estimated payments, due April 15, June 15, September 15, and January 15 (moved to the next business day when a date falls on a weekend or holiday). Underpaying can bring a penalty even if you’re due a refund. See the deadline calendar.
What business expenses are actually deductible?
Ordinary and necessary expenses of your business. Common examples: home office (if used regularly and exclusively), vehicle mileage, software and subscriptions, professional fees, advertising, equipment, the business share of phone and internet, and business meals (generally 50%). We review your situation and look for every legitimate deduction.
I just started a business. What accounting setup do I need?
At minimum: a dedicated business bank account, a bookkeeping system (such as QuickBooks Online or Xero), and a clear process for tracking expenses. We help new businesses set up a chart of accounts correctly from day one, which helps avoid cleanup costs later, and make sure you understand your tax obligations early.
FAQ
Pricing & Payments
How does your pricing work?
Plan work is billed at fixed fees based on scope, not by the hour. You’ll know what you’re paying before any work begins. Pricing depends on your situation and the services you need, and is confirmed at the free consultation. See our pricing page for starting rates.
Do you charge by the hour?
Not for plan work. Plan work is fixed-fee, so you can ask questions without watching the clock. IRS notice responses and bookkeeping cleanup are billed separately, and we’ll explain the cost before that work begins.
What's included in the price?
Scope is defined in your engagement letter before we start. For personal returns: federal and applicable state returns, e-filing, a copy of your completed return, and questions that come up along the way. For business plans: the bookkeeping, tax preparation, and advisory access defined in your plan. Anything outside that scope is quoted before we do it.
Do you offer payment plans?
Business plans are billed monthly. For annual personal plans, we can arrange quarterly installments on request; just ask during your consultation.
What if my situation is more complex than the starting rate covers?
We’ll tell you before we begin. If your situation needs more than a standard plan, we give you a custom quote up front and you decide whether to proceed.
FAQ
Working Together
How does the virtual process work?
After the free consultation, we send an engagement letter and a document checklist. You share your documents online, we prepare your return or manage your books, handle questions by email or video call, and deliver finished work digitally for your review and approval. No office visit required. See Virtual vs Local CPA.
How do I share sensitive documents?
Please don’t send sensitive documents as regular email attachments or through our website contact form. When you become a client, we’ll set you up with a secure way to share documents and walk you through it.
How quickly do you respond to questions?
We aim to respond within one business day to messages received Monday through Friday. Growth and Premier business plans include priority response. During peak filing season (February through April), replies may take a little longer, and we’ll let you know if so.
Can I switch to Regal Accounting from another CPA mid-year?
Yes. We request prior-year returns and documents from your previous preparer through the standard professional transfer process. Starting mid-year also gives us time to plan before year-end rather than just file.
What happens if my situation changes significantly after we start?
We talk about it. If the scope changes substantially (a business sale, a major acquisition, a new state filing requirement), we’ll adjust with a revised quote before doing the added work.
Let's Get Started
Still Have Questions?
Book a free 30-minute consultation. We’ll answer questions specific to your situation before you commit to anything.