The CoVid-19 attack is a current global pandemic of the coronavirus disease. The world is suffering from the COVID-19 outbreak, and so is the accounting industry. It has been a hard time for the tax professionals as the tax season is on and the Tax Day around the corner.
A blow on this department came from the Internal Revenue Service, who announced that the federal income tax deadline is automatically extended from April 15th, 2020 to July 15th, 2020. So, there would be no penalties and interest, regardless of the amount owed.
While that is a relaxation for the taxpayers and the department, the tax professionals still need to be prepared for dealing with coronavirus just as the season heats up.
Impact on the Accounting Industry
The U.S. has recorded over 19,285 confirmed cases of infection and at least 249 deaths. A few days ago, those numbers showcased an addon of 85 deaths and 4,600 cases. The infection is taking a pace and proper measures are being taken to save the world from this threatening disease.
In the initial stage of the COVID-19, the businesses kept several stations for hand sanitizing throughout the office and emphasized the importance of handwashing. But with the rise in the number of corona cases, the workers have been asked to work from their homes.
Every industry is going through the same crisis and so is the accounting industry as people were not prepared for this kind of situation. All the accounting tasks have to be managed remotely and for that, a protocol has to be made, which should be strictly followed by the whole team. The three-month extension to file the taxes because of the coronavirus pandemic has given the professionals enough time to prepare for the tax season.
How do Tax Professionals need to Prepare for the Outbreak?
Various factors need to be considered to prepare for the worst-case scenario. All American citizens are advised to stay at their houses and work from home. So, the use of tax software cloud hosting is what comes to the rescue at this moment.
Here are the basic requirements for a smooth workflow during the outbreak:
Cloud Connectivity: As the employees are going to work from home so they require proper cloud connectivity. The other important requirement includes a proper portal for the exchange of information and cloud-based software.
Keeping a cloud hosting service that provides exceptional service with high uptime is of utmost importance as the entire work of the business depends upon it. You need to understand that everything you are bound to do has to be done virtually.
Policies for remote working: The policies and procedures should be made properly, and strictly followed by the team so that there is smoothness in the flow of work. The disruption in the work can have consequences on the tax returns related to the investment of the business. So, it is important to plan it smartly and reasonably. The check-in time and work report of all the employees should be recorded and analyzed regularly.
Electronic Delivery: The employees and clients should be prepared for the possibility of electronic delivery of data and documentation. All the in-person appointments should immediately be changed to virtual meetings or phone calls. Keep communicating with your clients, check-in and assure them of your commitment through the internet or calls.
Filing extension: The filing extensions due to staff or client illness or local quarantine should be requested.
Sanitation: The establishment of sanitation procedures for the place the employees are working from.
These are some of the basic procedures that should be followed during this COVID-19 outbreak. The quality of the cloud hosting service is of utmost importance during this time. Secure and fast server, remote access, 99.99% uptime, and 24×7 customer support are the priority right now of a tax software being hosted on the cloud. The best thing regarding leading cloud companies is to offer the tax software cloud hosting platform with the kind of features and services that your business needs.