"My firm works almost exclusively with service-based businesses and their owners. Our clients rely on us for anything related to tax planning. We try very hard to perform our tax planning consistently with each client. Most client issues are common from client to client, so once we agree as a firm on the best way to handle a particular tax issue, we all handle that issue consistently going forward.
One of our biggest pain points until recently was determining reasonable compensation for S-corporation owners. Many times potential clients would challenge us on our methodology for solving that particular issue and compare our answer with what other CPAs had told them. It was difficult to give a consistent answer since our approach tended to be ad-hoc.
Attending the reasonable compensation seminar by RC Reports was an eye-opening experience. We learned about recent tax court activity and the new ways the IRS is looking at this important issue. We immediately started using the RC Reports tool with our S-corporation shareholders.
The response with our clients has been very positive. Not only does this tool take pressure off of us to prognosticate everyone’s individual circumstances, it also helps clients realize the value and expertise we are providing them as we help them adjust and interpret the report, and then update their tax planning accordingly. We’ve made the RC Reports tool a permanent part of our tax planning process. We now have a consistent and defensible way of advising our clients on this important tax issue." Luke K Gheen, MBA, CPA, Gheen & Co., CPA. LLA