CPA Tax Preparation Fee advice

6 Replies

Hello fellow investors

I was wondering if I could get some thoughts on tax preparation "only" fees for a good CPA (not inclusive of any bookkeeping services). We own a holding company that owns all of the entities that hold our real estate properties. We have 3 separate entities that are held by this primary holding company and the tax prep fee proposed is $12,800. Two entities own a combined 20 properties, one of the entities is a Hawaii LLC and our CPA has proposed $5,500 for this entity that only holds two luxury residential properties (3 rental units), the CPA has also proposed $2700 for our personal returns.

Consulting, as needed, will be billed hourly at $250-$400/hour depending on level of expertise required.

This seems very high to me, if anyone has a referral for a good CPA that can handle mostly real estate investments tax returns in multiple states please let me know.

Thanks Mike

Ouch!  If you're doing all of the accounting and recordkeeping for the properties and giving the CPA good Income and Expense records, this level of fee is pretty high, in my opinion.

I might charge something like that only if you were handing me a shoebox, 20 bank accounts statements for the year and incredibly messy recordkeeping.

Sounds a bit high to me. For my personal returns I pay $4,500. I have a LLC with 8 properties that I pay $2275 for the return. And I'm related to my accountant. This same accountant saved me $80k in refilling some past year returns. Good accountants will cost you