Setting up an 1120 Corp Tax Return Process Sheet for your CPA Firm or Accounting practice can be challenging, which is why we've outlined some best practices for you before you get started on your own process sheet.
In this overview, we're going to cover three critical areas of the 1120 Corp Tax Return Process Sheet. The foundation, the fulfillment, and the review.
Which metrics to track?In the foundation, it's critical to define the key metrics you're going to track. We're huge fans of turn around time, profit margins, and budget time. Other items or fields to include could be the type of client, any historical information, team members involved, and any documentation the needs to be associated with the 1120 return. You'll also notice a number of "target" vs "actual" fields, which will set the foundation for the final review (part 3) after the 1120 return has been processed for that client.
Completing the work... what to do?Part 2 is the fulfillment of the work, and this is common place for the 1120 Workflow Diagram to come in handy. During this phase, you're communicating with the client, completing work, and making sure everything is running on time and under budget. It's important to have a standard set of labels or statuses to track across process sheets as well, whether it's an 1120 tax or any other process in your CPA firm or accounting practice. Related video: 1120 Tax Return Process Sheet Overview
Final review... what to look for?
In this final stage, this is where you review your 1-3 core metrics. We're advocates of target vs actual on: Turn around time, hours to complete, and profit margin. There are certainly other metrics you can track, but we've found these to be the most impactful for your firm or practice.
Whether you're building your 1120 Corp tax return from scratch or updating an existing one, we hope you've found this article helpful. As always, growing your firm is a continuous process of learning and improvement. If there's anything we can do to assist you now or in the future, please feel free to reach out!