his case study explores how TaxBandits effectively tackled the year-end filing challenges faced by an international tax advisory firm, offering them a streamlined process that improved accuracy and efficiency.
About the Client:
The client is an internationally integrated partnership firm in New York providing audit, accountancy, advisory, tax, and legal services across 95 countries. With a vast team of over 47,000 professionals, they handle tax filings for 2000+ businesses across the U.S.
Challenges they Faced:
The tax advisory firm encountered significant challenges in its previous approach to federal and state information filing. The absence of a dedicated e-filing solution resulted in inefficiencies in staff coordination, managing all the clients in one place, increased vulnerability to security breaches, and a heightened risk of errors during critical filing periods. These challenges not only impacted the firm's operational efficiency but also posed potential threats to their reputation and client trust.
Unique Requirements that Shaped the 1099 Filing Solution for this
Tax Advisory Firm
In order to overcome these challenges, the tax advisory firm required an e-filing solution that could efficiently manage tax filings for their U.S. based clients.
These unique needs included tools for staff management, a secure portal for clients, and the ability to schedule 1099 filings in advance.
TaxBandits’ E-Filing Solution in Action:
In response to the unique challenges faced by our esteemed tax advisory firm, TaxBandits, an IRS-authorized SOC2-certified e-file provider, took on the mission to redefine and streamline their tax filing process. The objective was straightforward – provide end-to-end support and innovative features to meet the specific needs of the tax advisory firm.1 Support for End-to-End Filing:
TaxBandits became the comprehensive solution for the tax advisory firm, offering support from gathering data using bulk upload templates to verifying information through TIN matching, transmitting to the IRS, and handling the distribution of recipient copies. In essence, TaxBandits took care of every step in the tax filing process, making it a one-stop solution for all their needs.2 Staff Management:
TaxBandits tailored a robust staff management system for the tax advisory firm. This system efficiently assigned tasks, managed preparers and reviewers, and facilitated seamless collaboration. The result was a reduction in bottlenecks and improved workflow alignment.3 Client Portal:
A secure client portal was created for clients to access and share documents, ensuring transparent communication throughout the tax filing process.4 Customized Dashboard:
A customized dashboard was tailored for the tax advisory firm, enabling them to keep track of their clients’ filing conveniently in one place.5 Bulk Data Filing:
Efficiency was improved using TaxBandits' Excel/CSV templates, enabling the firm to file multiple returns simultaneously. This was especially beneficial when dealing with a high volume of tax filings.6 Extensive Data Validation:
TaxBandits incorporated extensive data validation measures, including USPS validation and TIN matching. This ensured the accuracy of information, reducing the likelihood of errors and potential rejections.7 Schedule Filing Features for 1099 Returns:
TaxBandits' integrated schedule filing features are tailored specifically for 1099 returns. This customization ensured that the tax advisory firm could adhere to its specialized focus with ease.8Recipient Copy Distribution:
The platform allowed the firm to effortlessly distribute recipient copies, offering flexibility through an online portal or traditional postal mail to cater to client preferences.9Corrections and Rejections Handling:
In the event of corrections or rejections, TaxBandits streamlined the process for necessary adjustments, ensuring compliance with regulations and minimizing disruptions in the tax filing workflow.10Instant Updates:
TaxBandits provided real-time updates on the status of filings, allowing the advisory firm to stay proactive and address any issues promptly.11Record-Keeping:
TaxBandits facilitated efficient record-keeping, enabling easy access to past data for seven years. This feature will prove invaluable for audits, analysis, and maintaining a comprehensive filing history12Support for Various Forms:
TaxBandits went beyond 1099 forms, providing support for various other forms, including 94x, W-2, W-9, and ACA forms. Additionally, correction forms and supporting forms were seamlessly integrated, offering a comprehensive solution for the diverse filing needs of the tax advisory firm.13Personalized Customer Support:
Recognizing the importance of tailored assistance, TaxBandits provide personalized customer support to the tax advisory firm. This went beyond generic help, ensuring that the firm received assistance customized to their specific needs, further enhancing the implementation and usage of the e-filing solution.14SOC-2 Certification:
Prioritizing data security, TaxBandits holds a SOC-2 certification, ensuring that sensitive client information is safeguarded with the highest standards of security.15TIN Masking:
As an extra layer of security, TaxBandits implemented TIN masking to further protect sensitive taxpayer information. This feature added an additional level of confidentiality and compliance to the entire e-filing process.
The implementation of TaxBandits at the Tax advisory firm followed a structured timeline:
TaxBandits not only met but exceeded the unique requirements of this tax advisory firm, providing tailored solutions that streamlined their tax filing processes, enhanced accuracy, and facilitated seamless collaboration.
The partnership between TaxBandits and the tax advisory firm stands as a testament to the transformative power of innovative e-filing solutions in the realm of tax compliance.