It is tax time and everyone is running down to the ?tax man? to pay the government their hard earned money. Some people take comfort in the fact that a large firm is going to file their taxes for them and take any responsibility over inaccurate reporting or problems with the IRS. The only caveat is that many large firms make more mistakes then the average individual tax preparer and their competency level is low which makes them a risk for their cost.

Unfortunately, most people don't understand that heading down to one of those big name firms like H&R Block can cost you a lot of money and problems. More mistakes, additional sales pitches, unfulfilled promises and incompetence may be just a few of the problems you will face. Think twice before you run down to the ?big names? because it can cost you in the long run.

Incompetence: Many workers at ?big name? accounting firms are seasonal employees with a great amount of incompetence. There is no universal standard for accountants and since these employees don't make a living off of being a part-time accountant you can never be sure of their skill level. Since only 1.5% of returns are audited you might feel comfortable. However, 56% of professionally filed returns have mistakes while only 47% of individual prepared returns have mistakes it is entirely possible you can run into problems.

Protection and Services: Protection is always a great comfort but when it costs you more money then it is worth then you may have gotten duped. In most cases companies like H&R Block have protection already built into their service clauses and paying extra is not likely to do you any good in the future. If you want these companies to pay your back taxes then you may have to pay through the nose for this added protection. The accountant becomes more of a sales person when they are peddling you products versus taking care of your needs.

Poor Relationships: Since many of these workers are seasonal by nature they don't have much of an ability to really develop a relationship with their customers. Each time a customer comes into the office there are new workers or the person they used last year is not available. Without a relationship you are seen as just another commission check that the tax preparer can earn. They want to get you in and out the same way McDonald's doesn't want people hanging around.

Knowing which type of accountant you need and whether or not you need an accountant is important. Most tax payers who receive a single W-2 form and have some house depreciation can do taxes on their own. They are better off getting an online service or using software like TurboTax. However, those with complex returns could consider an accountant they can develop a relationship with.