Richmond, Va. (March 3, 2004) -- Rather than jumping on the foreign outsourcing bandwagon, Peoples Income Tax Inc., a tax prep firm based here, plans to go head to head with overseas outsourcing firms by offering its own domestic outsourcing services.

Peoples Income Tax Inc. chief executive Charles E. McCabe says that his firm will offer income tax preparation outsourcing services from its Richmond headquarters that will rival the benefits of outsourcing to India and other foreign countries. Peoples Income Tax, founded by McCabe in 1987, operates 15 offices in central Virginia and serves roughly 10,000 individual and small business taxpayers.

"We have the resources and the experience to do it," said McCabe. "We can prepare any individual or small business return that a Big Four accounting firm could prepare, and do it just as well, and for a lot less money."

Although McCabe's projected charge of $75 per return is still higher than the average fee of about $50 for returns prepared overseas, he believes that "substantial benefits can be realized by outsourcing tax preparation to a reputable U.S. tax firm."

“Our tax professionals are highly trained and subject to IRS scrutiny,” McCabe said. “We operate a state-licensed income tax school and we are a CPE sponsor registered with the National Association of State Boards of Accountancy. Our textbooks and curriculum are used by tax professionals and colleges nationwide."

McCabe also noted that the company's tax preparers are supervised by IRS enrolled agents and all returns are double-checked.

McCabe hopes that firms will feel comfortable outsourcing to a domestic firm. "Communication with us is easier,” according to McCabe, “because our preparers are located in the U.S. Doing business in the U.S. should provide greater peace of mind and be perceived more positively by the firm’s employees and other stakeholders."

-- Roger Russell

Register or login for access to this item and much more

All Accounting Today content is archived after seven days.

Community members receive:
  • All recent and archived articles
  • Conference offers and updates
  • A full menu of enewsletter options
  • Web seminars, white papers, ebooks

Don't have an account? Register for Free Unlimited Access