New IRS Laws Spike Independent Conversions to Larger Systems

If you are in the tax preparation industry, there are many new laws implemented by the IRS this year, which will affect the way you do business. Starting mid-September, the IRS will be implementing stricter laws on tax preparers across the country which will include continuing education requirements on preparers, passing a series of tests to renew licenses through the IRS. These laws are being implemented to increase the qualification of preparers across the country. Included in these new laws is a mandatory registration for independent tax preparers where all paid tax preparers must register for a Preparer Tax Identification Number (PTIN) which is set to begin mid-month. This is one more law to further monitor the industry and increase the quality of service.

Resulting from the newly founded laws, a trend is emerging in the tax preparation field. Many independent preparers are converting to larger tax preparation firms, with systems already in place to help support new laws and initiatives. Independents recognize that larger, established systems will provide the services, bank relationships, and handle mandatory deadlines for the entire system to ensure that the business as a whole is prepared for these changes.

With 80% of Americans using a tax preparation service and with new, stricter IRS regulations, the tax industry as a whole will need to adapt and many small tax preparers unable to make these required changes will be eliminated in result.

With all of these new boundaries in place for tax season 2011, the tax preparation industry needs to be more organized than ever before. Smart Tax franchise has transitioned to prepare themselves for the upcoming tax season and welcomes independents into its system; offering preparers who file over 250 files per year a free conversion into a Smart Tax franchise.

For more questions, please refer to the IRS Laws online at: http://www.irs.gov/newsroom/article/0,,id=217781,00.html\

Smart Tax Featured in The Business Journal of the Greater Triad Area

Smart Tax franchise was recently featured in The Business Journal of the Greater Triad Area entitled, “Tax Preparation Company Targets Triad.” The article discusses Smart Tax’s interest in the North Carolina region, specifically Greensboro, and plans to develop up to 10 locations over the next few years. As Smart Tax continues to expand outside its home state of New York, it is gaining traction and attention in the markets it enters. Due to the affordability and growth potential, Smart Tax is a very viable and attractive business opportunity for entrepreneurs looking to get out of corporate America and enter a recession-resistant industry. Here is a link to the online version of the article and below you can read the story:

Tax preparation company targets Triad

New York-based Smart Tax, a tax preparation franchise company, said it is planning to add 10 new locations in Greensboro over the next two years.

The expansion is part of Smart Tax’s national growth strategy to build 100 locations by Jan. 1, 2012.

“We are looking to partner with a driven, business savvy entrepreneur to provide a much-needed service to a community in high demand of tax services,” said Nick Rizzi, CEO and founder of Smart Tax, in a statement.

(Read More)

Smart Tax Featured in Salt Lake Enterprise

Smart Tax was recently featured in the Salt Lake City Enterprise in an article entitled, “Tax Preparation Franchise Plans 10 Salt Lake Area Locations.” Nick Rizzi, CEO of Smart Tax, was interviewed for an article discussing the brand’s expansion plans into the region and the low start up cost and prime real estate opportunities that Smart Tax provides. Despite the economic climate, Smart Tax has experienced exponential growth and is not only expanding throughout the Northeast but also nationwide. As a brand, Smart Tax has adapted to the economic climate by offering a 2-part franchise fee, where franchisees can pay half the fee up front and the second after tax season. This method allows franchisees to join the Smart Tax family with lower start-up fees and focus on marketing their business to their local community. Click on the thumbnail below to read the article in its entirety.

Smart Tax Attending IRS Nationwide 2010 Tax Forum NYC

Smart Tax is attending the IRS Nationwide 2010 Tax Forum in New York City August 10-12. The event will be held at the New York Hilton and will for three days will focus on informative education sessions, training and networking, featuring a full agenda of the latest tax law information, hands-on workshops, networking opportunities and exhibits of the latest products and services for your business needs. The IRS Nationwide Tax Forum welcomes the participation of our association partners: the American Bar Association (ABA), the American Institute of Certified Public Accountants (AICPA), the National Association of Enrolled Agents (NAEA), the National Association of Tax Professionals (NATP), the National Society of Accountants (NSA), and the National Society of Tax Professionals (NSTP).

Some of the highlights of the forum include:

Exhibits – Visit dozens of exhibitors displaying a wide selection of products and services that support the IRS e-file Program and may help enhance your business operations. Exhibit hall hours: 11:15 am to 6:00 pm on Tuesday and 10:00 am to 2:00 pm on Wednesday.

Continuing Professional Education (CPE) Credits – Attendance at IRS Nationwide Tax Forum seminars qualifies for Continuing Professional Education (CPE) credits for enrolled agents, certified public accounts, and California Tax Education Council (CTEC) participants. You will need to understand and comply with your licensing agency’s CPE requirements. Attendance for the full 50 minutes of the presentation is required to receive one CPE credit.

Certified Financial Planner (CFP) Credits – The IRS is registered with the Certified Financial Planner Board of Standards, Inc. The board has the final authority on the acceptance of individual tax forum courses for continuing education credit for certified financial planners.

IRS Preparer Services Room

Case Resolution Program – Bring your toughest unresolved case (one per tax business) to the Case Resolution Room and meet one-on-one with IRS representatives by appointment only to discuss the case (POA required onsite). To expedite scheduling, bring a completed Nationwide Tax Forum Case Data Sheet with you.

Networking Opportunities – Enjoy great food and good company! Mix and mingle, reconnect with friends and colleagues, share information and best practices, or just relax and enjoy!

IRS Oversight Board – Visit with IRS Oversight Board representatives and offer your comments on various IRS initiatives and programs.

Electronic Federal Tax Payment System (EFTPS) – Visit the EFTPS Registration Booth and see how tax professionals can make their clients’ tax payments easier, while reducing their own paperwork.

Focus Groups – Your opinion counts! Participants are randomly selected to participate in focus groups and provide candid feedback on key topics. If you’re asked to take part in a focus group session, consider it as an excellent opportunity to let your voice be heard.

IRS Nationwide Tax Forums Online (NTFO)
The IRS Nationwide Tax Forums Online (NTFO) site is now open. The NTFO site provides courses based on taped seminars from previous IRS Nationwide Tax Forums. NTFO courses may be taken for either CPE credit or audit. To visit, go to http://www.irstaxforumsonline.com/.

Look for Smart Tax if you are attending and for additional information on the forum, please click here.

Economic Times Call for Innovative Measures; Smart Tax Offers Free Franchise to Existing Franchisees

To Adapt to Economy, Smart Tax Sparks Growth by Eliminating Franchise Fee for Current Franchisees

BROOKLYN, NY – While many businesses have slowed growth due to the rocky economic climate, Smart Tax franchise, a newly launched 10-unit tax preparation concept, is just starting to speed up. In an effort to adapt to the economic climate and spark growth within the Smart Tax system, Smart Tax has eliminated the franchise fee for existing franchisees signing a franchise agreement in 2010, allowing Smart Tax franchisees to continue developing the brand despite the economic climate and mature their franchise portfolios in multi-unit ownership.

“Despite being launched in the rocky economic climate, Smart Tax has continued to grow due to the dedication and passion of the franchisees in the Smart Tax system,” said Steve Beagelman, senior franchise advisor to Smart Tax and Founder of SMB Franchise Advisors, a franchise consultancy firm. “To reward its franchisees and strengthen its systems further, Smart Tax has decided to eliminate the franchise fee to spark growth with existing franchisees who have already found success in its system and desire multi-unit ownership.”

The current economy has been labeled one of the worst in centuries and the franchising industry as a whole has seen a decline in development. As a way to reduce barriers of entry and continue growing, Smart Tax CEO Nick Rizzi has eliminated the franchise fee for franchisees already involved in the system to allow these entrepreneurs to take advantage of the prime real estate market.

This program has allowed Smart Tax franchisees to bypass the financial crisis and continue building the brand throughout the U.S. More than 80 percent of the franchisees are taking advantage of this initiative, allowing Smart Tax to open up five new locations in Texas, New Jersey, and New York.

“I saw this as an opportunity to strengthen my franchise portfolio by adding a new location,” said Mike Leibowiz, Smart Tax’s first franchisee and owner of three Smart Tax locations in Staten Island and Bayonne, NJ. “From the moment I made the decision, Nick Rizzi and I have been scouting out new real estate and planning my expansion strategy to further build the brand in the area and increase the impact of localized marketing efforts.”

Brooklyn franchisee Yvonne Murray agrees. The franchise fee elimination together with the success of her Brooklyn franchise has inspired Murray to sign on for her second Smart Tax location in Brownsville, NY, which will open for tax season 2011. The financial liberty has also allowed her to focus on what she considers the most important aspect of running a good business: community involvement. She has funded summer programs and other charitable initiatives, and even been able to start a Smart Tax Little League organization.

“It’s all about community,” Murray says. “A thriving business has a responsibility to give back. Smart Tax understands this and has allowed me to do a lot of really great things for the neighborhood I love so much. It doesn’t get much better than this.”

Smart Tax Featured in New Mexico Business Weekly

Smart Tax was recently featured in an article in the New Mexico Business Weekly entitled, “IRS Aims to Squelch Tax Prep Incompetence.” The article was built from an in-depth interview with Nick Rizzi and delves into the trend emerging where the IRS is becoming stricter in enforcing rules and regulations on tax preparers and also discusses Smart Tax’s growth plans throughout New Mexico. A portion of the story is shared below, and you can view the full article here.

IRS aims to squelch tax prep incompetence
by Dennis Domrzalski

As the Internal Revenue Service prepares to crack down on tax preparers, some see it as an effort to drive small practitioners out of business.

But others, like Nick Rizzi, CEO of Smart Tax, see it as an opportunity. Rizzi’s franchise company says it plans to open 15 offices in the Albuquerque area by the 2012 tax season.

“Everybody needs to do taxes, and we have found it to be a good business to be in,” says Rizzi from his New York City office. “Albuquerque is a prime hub for expansion and development because the market is largely underserved."

With 80 percent of Americans using a tax preparation service and with new, stricter IRS regulations, the tax industry as a whole will need to adapt, and many small tax preparers in the Albuquerque market will be eliminated. (Read More)

Smart Tax Featured in New Haven Register

Smart Tax was recently featured in an article in the New Haven Register entitled, “Website, Tax Firm Eye Area for Expansion.” The article was built from an in-depth interview with Nick Rizzi and discusses Smart Tax’s expansion strategy throughout the region to open 15 locations over the next 2 years. The story delves into Nick Rizzi’s entrepreneur story and also provides a link to the website to point entrepreneurs in the right direction. A portion of the story is shared below, and you can the full article here.

Website, tax firm eye area for expansion
By Angela Carter

Owners of a new tax preparation franchise, and a website where companies sell excess inventory, are eyeing the New Haven area for expansion.

Nick Rizzi, chief executive officer of Smart Tax of Brooklyn, N.Y., said he is looking for franchisees to open 15 locations across New Haven, East Haven, North Haven, West Haven and Hamden by the 2012 tax season.

“There are pockets in those areas that are just screaming they need help,” he said. “I see a lot of potential here. If I had the wherewithal, I would do it myself.”

Rizzi initially approached other tax franchises, but none of them had territories available in areas he wanted. “I decided to go it alone,” the former financial planner said.

Franchisees and tax preparers working with them will need to be certified and take continuing education courses, under new rules being implemented by the Internal Revenue Service.

Smart Tax has 10 offices in New York, New Jersey and Texas; Rizzi also plans to expand into Pennsylvania.

The franchise fee is $20,000, half of which is due at closing, and the remainder would be due after a franchisee’s first tax season. For more information on becoming a franchisee, visit www.thesmartwaytofile.com.

To read the rest of the article from the New Haven Register, please click here.