Tax Season 2024: Too Early to Think About It?

We’re about two months into the new tax year. For accountants, this is one of the most exciting times of the year with too many things happening simultaneously.

• New year strategy? Check.
• Budgeting? Check.
• Accountex? Check.

Well, it’s time for the inevitable—the one period of the year that you have a love-hate relationship with—tax season!

Love – because it means a good flow of cash into your bank account. Hate – because it means tons of paperwork piled on your desk, dreadful all-nighters, last-minute clients, and an overwhelmed team.

But wait, why are we talking about the tax season in May? Isn’t it too early to even think about it?

Technically, yes! You may not be in the groove yet, and let’s accept it: Clients aren’t even going to send in information at this point. So, why?

To begin with, the Self Assessment tax season has already set in. While we have several months to go before actually getting into the filing business, this is the right time to start planning for it.

In this blog post, we will dive into the critical question – is it too early to think about the tax season?

Too Early – Not at All!

We get it—right now, you’re too busy growing your network. However, thinking, planning, and strategising for the tax season are equally important.

Do you remember how the last tax season went for your firm? Was it smooth or stressful? If it gave you even one sleepless night, you must start planning right now. Consider hiring additional staff, investing in new technology, or outsourcing Self Assessment tax preparation to a trusted provider.

What Do We Mean by “Planning for the Tax Season”?

You may have read a ton of times that planning early for the tax season pays off. But what exactly does planning mean?

You practically cannot predict last-minute capacity shortfalls and emergencies right now. Plus, no matter how well and early you plan, you can’t escape the busy season hustle. So, what should you “plan” right now?

Here are a few ways in which you can prepare for the tax season right now:

1. Review and Analysis

Consider the following questions:

1. Was the last tax season a success for your firm?
2. Did you earn substantial profits?
3. What went wrong and how can it be improved?
4. Did the busy season leave your team burned out?
5. Were there any last-minute emergencies?
6. Did you use Self Assessment tax preparation services?

Reviewing and analysing the previous tax seasons can be an excellent starting point. It helps you locate strengths and gaps and allocate resources for maximum impact.

Keep your goal sheet before you and introspect about the previous tax seasons. If you feel your goals are too far-fetched to be achieved with your current resources, it may be the right time to seek help.

2. Marketing

Do you plan to work with the same number of clients as last year or grow your business? If your goal is the latter, this is the right time to start marketing your firm.

Some simple ways to do this are to invest in a CRM tool, create an email marketing plan, and build your presence on social media. While these strategies do not require heavy investment and effort, they help drive your prospects’ attention to your brand. Even if your audience isn’t ready to file now, they may consider you when they need the service.

3. Capacity Planning

You have already reviewed and analysed your previous tax seasons and set goals for the current year. You’re also planning to undertake marketing activities to strengthen your firm’s presence on digital platforms. What next?

You surely need resources to handle all the additional work that’s going to come in as the year progresses. Plus, based on your last season, you know the resource strength you’d need to avoid the busy season rush.

If you plan to hire new resources, now would be the right time as you’d also need to train them and bring them up to speed. Or you could save some time (and money) by outsourcing tax to an industry-leading provider like QX Accounting Services.

4. Farming Clients

Every time we speak of business growth, the immediate reaction is to think about acquiring new clients. However, in addition to new accounts, your existing client base may offer immense opportunities that may be untapped.

Assess how many of your clients use your standard services but haven’t signed up for tax service. Book virtual or in-person meetings with them and educate them about your tax prep services. Offer goodwill discounts to encourage them to sign up.

Since networking is hot in the industry right now, this is the perfect opportunity to reach out to clients. Even a simple coffee meeting might do wonders for your business.

5. Prepare Your Team for Outsourcing

If you plan to outsource during the busy tax season, prepare your team for it. Inform your in-house team about your outsourcing tax preparation decision and educate them about the significance of the move. Explain to them how it will ease the pressure during the busy season and facilitate a stress-free tax season.

Ready to Kickstart Another Tax Season?

We’re sure you’ve heard the popular saying – well begun is half done. As another Self Assessment tax season kicks off, getting started and planning early is essential. With the kind of pressure we accountants face, it’s never too early to start, especially during tax season.

Follow the above tips and prepare your firm to seek help by outsourcing tax preparation early on. That way, you can avoid last-minute stress by having backups ready to navigate emergencies.

Curious to know how outsourcing can fuel your firm’s growth during the tax season? Our dedicated experts would be delighted to help. Call us at +44 208 146 0808 or drop an email at [email protected].