Good judgment is often visible in the questions a preparer asks—and in the promises the preparer refuses to make. Some warning signs are reasons to ask more questions. Others should stop the engagement.
A “ghost” preparer
A ghost preparer is paid to prepare a return but refuses to sign it as the paid preparer, often leaving the return appearing to be self-prepared. That is a major warning sign. Read the dedicated Ghost Preparer warning →
Promises made before the facts are known
Be cautious when someone guarantees a refund amount, promises to “get you more back” before reviewing records, or suggests the result is primarily a matter of finding aggressive deductions. Tax outcomes depend on facts and law, not sales language.
Fees based on the size of the refund
An arrangement that rewards a preparer for producing a larger refund can create the wrong incentive. Ask how fees are calculated and whether the amount changes based on the tax result.
Directing your refund somewhere other than your account
Your refund should not become a mystery. Understand any bank product or fee-withholding arrangement before signing. Be especially cautious if a preparer wants a refund deposited into an account you do not control.
Pressure to omit income or invent deductions
A professional should help determine the correct tax treatment of facts—not encourage you to conceal income, fabricate expenses, alter dates, create dependents, or manufacture documentation after the fact.
Refusal to provide a copy of the return
You should receive and retain a complete copy of the return. You are ultimately responsible for what is filed under your name, even when someone else prepared it.
Weak security practices
Sensitive tax records deserve more protection than ordinary correspondence. Repeatedly asking for Social Security numbers, W-2s, brokerage statements, or full tax returns through unprotected email should prompt questions about the firm’s safeguards.
No explanation of scope or availability
You should understand what the engagement covers, who will do the work, how questions are handled, and whether the preparer will still be available after filing season.
Authoritative reference: IRS — Choosing a tax professional