Efficient Beneficial Nature of Outsourcing Tax Preparation Services from India by CPA Firms
CPA firms working in the tight economic conditions of the US are always seeking for affordable and effective solutions to make their business profitable. Especially during tax season when more professionals are required to provide flawless services to their clients.
Out of all the different types of cost-effective solutions – outsourcing services from India has been turning out one of the best solutions for CPA and accounting firms. The number of accounting services outsourced from India is rapidly increasing and tax preparation services are highly outsourced services.
Tax preparation services are very integrated as multiple layers of work are attached to it like preparation of books, balancing the books, preparing tax reports, filing returns and so much more. Every part of tax preparation has to be precisely accomplished with utmost perfection and dedication. So, when the number of clients is hefty, then outsourced tax preparation services come as a perfect solution.
Why CPA and Accounting Firms are Interested in Outsourcing from India?
At CapActix, we have been asked to address this question on multiple portals that why CPA firms prefer to outsource tax preparation services from India. Well, this is a very interesting question that our professionals have explained in-depth on numerous stages. There are multiple factors involved behind the aggressive outsourcing market of India, but some of the core factors that surge accounting firms to outsource talented services from India are –
1. Improved ROI
By outsourcing tax services from India, CPA firms can improve the ROI of their business to multiple notches up. It is clear that the cost of hiring professionals in India is less as compared to the US – this is due to the difference in the value of both countries’ currency value. In the international market, $1 is averagely equal to ₹70 (depending on the prevailing market rates). So, wherein the US, CPA firms have to pay a minimum of $50,000-70,000 to hire a tax expert per annum, they can hire the services of the outsourcing team for less than that only for the particular period.
Moreover, the outsourced team will charge money without any extra benefit whereas in-house staff companies have to pay salaries every month plus additional infrastructure and employee benefits. So, the operational cost of CPA tax preparation reduces, then it will automatically improve the ROI of a company.
2. Effective Communication
To properly delegate the tax work to outsource companies, CPAs have to establish a smooth communication flow using different mediums. In India, the majority of professionals speak fluent English that makes it easier for US-based accounting firms to freely communicate with the professionals and make them understand the work. This is the main reason why companies prefer to outsource from India as compared to other Asian nations. Moreover, telephone and Internet connection is very good in India so uninterrupted communication can be established.
3. Skilled Tax Experts
Outsourcing business to India facilitates access to skilled resources with plenty of experience. There are plenty of skilled accountants, tax experts, auditors, and other professionals who are available in India who know how tax provisions work in the US. The availability of ebonic talent and experts with global knowledge has made India the first preference for outsourced tax preparation services.
4. Latest Infrastructure
Indian tax firms are highly focused on improving the infrastructure technology of their company. They constantly encourage their staff to learn new technologies and try an innovative approach to offer high-quality services. Outsource accounting firms also host seminars and learning seasons for their staff regularly so that they can keep up with the changing tax rules and regulations. On the top, they even use all the latest tax preparation software, gadgets, and tools to run their outsource services in the right manner.
5. Friendly Outsource Policies
Most of the foreign nations prefer to outsource from India because they get red carpet welcome in India. The outsourcing business policies in India are very lean which makes it easier for accounting firms to outsource work from India. Outsourcing policies in India are very flexible that encourages overseas agencies to spread their business wings in India.
Moreover, government policies in India are very friendly for foreign business organizations that want to utilize the expertise of local talent. From $US 50 billion in 2010 to $ US 118 billion in 2016, India’s growth in outsourcing is immense. So, it is clear from the statistics that Indian business policies are highly favorable for outsourcing.
Here you can read 6 Common Misconceptions About Outsourced Tax Preparation Services from India
6. Better Customer Support
With the help of outsourced tax preparation services, CPA firms in the US will be able to offer better customer support services to their clients as they can use their free time to focus on improving customer support. The efficiency and productivity of the tax company will also improve with better customer services.
By outsourcing services from India helps CPA firms to offer flawless tax services to their clients as work is completed by highly professional people. Moreover, work goes through various scans before reaching the clients.
7. Round the Clock Work
During tax season, CPA firms have less time and more work. So, they need to utilize 24 hours of the day productivity to produce the best results. Here, outsourcing from India can be highly beneficial due to the 12-hour time difference between the US and India. That means CPA firms can work 24 hours during the tax season and make huge progress. They just have to delegate work to their outsourced tax expert in the evening and get completed work by the morning. This will save up lots of time and speed up the tax preparation process.
Outsource from India
Outsourcing tax preparation services from India can bring lots of positive changes in the tax preparation process of CPAs. They can gain monetary benefits, saves time, flawless tax services, use the talent of professionals and so much more. The outsourced tax preparation system has so much potential if the right outsourcing company is used in the right manner. It is going to be a wise decision for CPA firms to outsource services from India.
When you are looking for outsourcing tax preparation services, then you can seek assistance from CapActix by email – [email protected]. or can call on +201-778-0509.