How Long Does It Take a Tax Preparer to Do Your Taxes?

Tax season draws our attention in 2025, and the most popular question among people and companies is: How much does it take for a tax preparer to calculate your taxes? With the complexity of deductions, credits, and IRS form updates, tax preparation is no longer just a question of completion of forms: it is a strategic, data-driven process that can differ significantly in time and cost depending on your income sources, deductions, and documentation.

Throughout this blog, we’ll touch on everything you need to be aware of—from how much time tax prep usually takes in accordance with your financial situation, to what documents you need, how small business tax returns differ, and how BitAccounting makes sure your returns are accurate, optimized, and compliant.

Cost and Time Considerations in 2025

Knowing how much it will cost you as well as the time you will spend by filing your taxes along with a professional is crucial for you to do budget planning and comply with the law. A great number of people usually expect a fast return and a fixed fee; however, that’s not the case in fact both the cost and processing time are not only different but can also be afflicted with various factors. Some of these factors could be the complexity of your filing, the kinds of forms you need, and the skill level of the preparer.

How Much Does an Accountant Charge for Tax Filing?

The price of tax preparation in the US can be anywhere between $150 and over $1,000, depending on the factors stated below:

a. Form Complexity

• Basic W-2 Only Returns: Filing a simple return with one or two W-2s and no itemized deductions typically costs between $150–$300.
• 1099 and Freelance Income: Returns involving 1099-NEC, 1099-MISC, or Schedule C for self-employed individuals can cost $350–$600 or more, depending on the number of expenses and required schedules.
• Multiple Income Streams: Those with dividends, rental property, capital gains, or Schedule K-1s from partnerships may incur additional fees, potentially increasing the total cost to $700+.
• Itemized Returns (Schedule A): If you plan to itemize deductions such as mortgage interest, property taxes, or medical expenses, expect a base fee increase of $100–$200.

b. Entity Type

• Individual Filers: Generally, the least expensive to prepare, unless investments or multiple deductions are involved.
• Small Business Owners (Sole Proprietor, LLC): Usually fall into mid-range pricing due to added bookkeeping and Schedule C complexities.
• S Corporations & Partnerships: Require Form 1120S or Form 1065, which demand significant documentation and reconciliation. These returns often cost $800 to $1,200+.

c. Geographic Location

• In urban areas or high-cost states (e.g., New York, California), average tax preparation fees tend to be higher.
• In lower-cost regions or rural settings, fees are generally lower but may reflect less specialization.

d. Specialized Tax Preparers

Engaging the services of a Certified Public Accountant (CPA), Enrolled Agent (EA), or Accredited Tax Advisor (ATA) normally means you will be charged more, however, you will be provided with increased expertise, audit support, and tax strategy.

Time Considerations: How Long Does It Take a Tax Preparer to File Your Return?

The time it takes to fill and submit a tax return is defined by different factors such as return difficulty, how quickly the documents are ready, and the client’s available response time. Hereinafter, you can see each step of the usual time needed.

a. Initial Interview and Document Collection: 30 minutes to 2 hours

• Your tax preparer begins with an in-depth discussion or intake form, understanding your financial profile.
• You’ll be asked to provide tax documents such as:
  • W-2s (for employment income)
  • 1099-NEC or 1099-MISC (for freelance or contractor income)
  • 1098 (mortgage interest)
  • Receipts for charitable donations, business expenses, or healthcare costs

b. Preparation and Review Time: 2 to 10 hours (or more)

• Simple W-2-only returns might take 2–3 hours to prepare and file.
• Returns with business income, multiple dependents, itemized deductions, or capital gains can require 5–10 hours of preparation and reconciliation.
• If bookkeeping is incomplete or if errors are found in your records, expect added delays.

c. Client Review and Finalization: 1 to 3 days

• Once your preparer completes your return, they’ll send it to you for review.
• They may request signatures for forms like Form 8879 (e-file authorization).
• If you have questions or revisions, the timeline could stretch by another few days.

d. IRS Submission and Confirmation: Same Day

• Once approved by you, most tax professionals e-file the return the same day.
• A digital acknowledgment is received from the IRS within 24 to 48 hours confirming acceptance.

Factors That Can Increase Time and Cost

Some tax situations require additional time and expertise, impacting both cost and turnaround. Examples include:

• Amended Returns (Form 1040-X): If you need to correct a previously filed return, it could add 3–5 hours of work.
• Audit Support: If your return is likely to be audited, or you’ve received an IRS notice, your preparer may charge extra hourly rates for representation or correspondence.
• Late Document Submissions: Clients who deliver documents piecemeal or close to the deadline often incur rush fees.
• Unorganized Records: Poorly categorized expenses, missing receipts, or lack of bookkeeping increases preparation time significantly.

Cost vs. Value: Why Paying More Can Save You Money

Many individuals focus only on price, but experienced tax preparers often deliver greater value by:

• Identifying deductions, you might miss on your own (e.g., HSA contributions, energy-efficient home improvements)
• Offering strategic tax planning advice that can lower your future tax bills
• Helping you avoid penalties from filing errors or underreporting
• Defending you in an audit if the IRS flags your return

So, while a more seasoned CPA might charge $600–$1,000 for a complex return, the tax savings, risk reduction, and peace of mind can easily offset that cost.

BitAccounting’s Value-Based Pricing

At BitAccounting, we believe in transparent, value-driven tax preparation. Our pricing is set to your needs. We offer:

• Flat-rate packages for individuals and small businesses
• Volume discounts for multi-entity clients
• Free consultation to assess your tax situation
• Year-round support at no extra charge

When you choose BitAccounting, you’re not just paying for tax prep—you’re investing in accuracy, compliance, and long-term financial clarity.

Information About All Three Forms

1. Form W-2: Employee Wage and Tax Statement

• What It Is: This form is handed over by the employees’ employer to employees to let them know how much they earned during the year and how much income tax was deducted from their salary. The form also includes Social Security and Medicare contributions, additional services in the name of retirement allowances.
• Who It Applies To: W-2 is for regular employees and does not include contractors or freelancers.
• Estimated Prep Time: It will take you 15 to 30 minutes to complete every W-2 form.
• Why It Matters: This form is one of the easiest for preparers to fill. However, situations like having several W-2s from different employers, or mistakes in payment, will not only cause additional time but also the disagreement with the above statement of the form.

2. Form 1099-NEC: Nonemployee Compensation

• What It Is: This form serves to present income received as a self-employed person, an independent contractor, a freelancer, or a gig worker. The form is a replacement for Form 1099-MISC for reporting payments made to contractors up to 2020.
• Who It Applies To: Individuals operating their own affairs and gig economy workers, consultants, anyone paid more than five hundred dollars by a firm, and the like, but not characterized as its employees.
• Estimated Prep Time: A 1099-NEC will most probably take you 30 to 45 minutes to get it ready for mailing or electronic filing.
• Why It Matters: With the need to keep track of the business-related expenses, calculating the self-employment tax, and often attaching a Schedule C, the preparation time is also high. Moreover, your accountant might additionally need to ensure the accuracy of quarterly estimated tax payments and support the use of available deductions, such as the mileage or home office.

3. Form 1098: Mortgage Interest Statement

• What It Is: This form, which is received from the lenders, exhibits the full quantity of the interest of a mortgage paid during the year. It is usually the main deduction for homeowners who itemize.
• Who It Applies To: Homeowners with a mortgage on a primary or secondary residence.
• Estimated Prep Time: The filling of a 1098 form is expected to take a quarter of an hour to a third of an hour, that is, 15 to 20 minutes.
• Why It Matters: The deduction of mortgage interest is one of the items on Schedule A of the individuals’ tax return reflecting itemized deductions. However, the options of eligibility and limits differ with the fact of issuing the mortgage before or after specific dates (like the Tax Cuts and Jobs Act of 2017 limit the deductions).

The IRS says that a regular taxpayer spends, on average, 13 hours dealing with a Form 1040 that includes itemized deductions, while a business filer may need more than 24 hours to fill in his return if it involves different schedules.

Typical Items That Are Itemized

When itemizing deductions, a preparer will need time to input and verify multiple documents and categories, such as:

• Medical and dental expenses
• Mortgage interest
• State or local property taxes

Each of these line items requires substantiating documents and time-consuming categorization—hence extending the total prep time.

Choosing the Right Tax Preparer

Not all preparers are created equal. Selecting a certified and experienced tax professional can be the difference between a compliant return and an audit flag. Choose someone registered with the IRS and preferably affiliated with a professional body like the National Association of Tax Professionals (NATP) or American Institute of CPAs (AICPA).

Before You Hire a Tax Preparer, Ask These Questions

1. What kind of formal tax training do you have?
2. Do you hold any licenses (CPA, EA, ATA, ATP)?
3. Are you part of any professional tax organizations?
4. How many years have you prepared taxes?
5. Have you handled returns like mine?
6. Are you available year-round?
7. Will you represent me during an audit?
8. How do you calculate fees?
9. Will you electronically file my return?
10. Will you sign the return as the preparer?

How Long Does It Take to File Taxes Online in 2025?

Whenever you go for the e-filing services of the IRS or use TurboTax or H&R Block platforms, it can take a substantial amount of time, typically 30 minutes to 2 hours, to file the return, depending on the complexity of the refund. Nonetheless, online filing doesn’t always mean that there is no need for professional review, especially for capital gains, stock trades, multiple W-2s and Schedule C businesses, or Schedule C businesses.