It’s understandable for some tax preparation and accounting professionals to be wary of even considering outsourcing to a country like India, but in fact, it can prove to be a highly effective solution for CPAs struggling to meet the demands of their workload, and keep up with client’s increasingly complex corporate tax requirements.
By outsourcing tax preparation to India, CPA firms can stay competitive, streamline their operations, and not run the risk of burnout among their teams. India has a wealth of skilled and dependable accounting professionals, all ready and willing to help you meet your client’s demands, with ease. The country is also home to some of the world’s most advanced technology infrastructure, and when coupled with the low cost of labor (don’t worry, accounting professionals and tax experts are paid at fair rates according to the country’s labor laws), it makes an ideal destination for outsourcing.
Still unsure? Here are just some of the reasons why more and more U.S CPA firms are outsourcing to India:
- The level of expertise
Whether a CPA firm needs help with handling its bookkeeping, accounting, tax or compliance, the huge pool of talented and qualified professionals in India, can provide assistance with just about anything a CPA firm could possibly want.
As certified experts, these professionals have a deep understanding of accounting standards internationally, and keep themselves up-to-date with all compliance and regulatory requirements, no matter how often they may change (and they do change often!). having undergone extensive training, they are more than equipped to handle a vast range of accounting, bookkeeping and tax tasks.
- The financial savings
With the cost of labor so much less than here in the U.S., from a financial perspective, it makes perfect sense to utilise the expertise of professionals in India. You can partner with an entire team of accounting and tax experts, for a fraction of the cost of hiring an in-house team, and pay them only for the work they provide for you.
- The scalability
If your firm needs to scale up and down according to the demands of its clients, or in response to any other situation, outsourcing can provide you with the ideal opportunity to do so cost-effectively, and with ease.
Outsourced services can quickly be adjusted to reflect the current workload, giving CPA firms the freedom to expand, or scale down as needed.
- The control over quality
Outsourcing partners based in India typically have stringent controls for quality in place, and have systems for reviewing that make sure all reports, financial data, and tax returns are prepared with precision, and free of any errors. This guarantees compliance with all relevant regulations, and allows CPA firms to provide their clients with trusted, dependable services.
- The security of data
Data security is no joke in India, and outsourcing partners take their role in protecting financial and personal data, extremely seriously. Reputable partners follow all best practices as mandated by the IRS under publication 4557, and take measures to protect data that include regular monitoring, intrusion detection firewalls, and multi-factor authentication. Ultimately, the answer is that: yes, tax preparation outsourcing to India absolutely can be a viable solution for CPAs facing intense workloads, and for many, enables them not just to better cope with their level of work, but to expand upon it without overstretching any of their in-house CPAs, or busting their budget.