Party of One: Tech and Everything Else You Need to Start Your Own Practice.

• Author: Gharibian, Karina
• Position: Practicemanagement

So, you've courageously decided to start your own tax firm. Congratulations! Buckle up and get ready to face a fun year or two. I was in your shoes not long ago and I wished someone had written a general outline for me to follow, so here's my version of how to best start your solo tax practice.

Step 1: Logistics

* Pick a Name: You can check if a name is available or reserve a name with the California Secretary of State (businesssearch.sos.ca.gov) or call (916) 657-5448.

* Incorporate or register a Doing Business As (DBA): For incorporation, I used cminules.com. I received a free incorporation as a CPA to test their service. You could go with any other service or do it yourself.

* Request an Employee Identification Number (EIN) through the IRS: irs.gov/businesses/small-busincsses-self-employed/apply-for-an-employer-identification-number-ein-online.

Step 2: Obtain an Electronic Filing Identification Number (EFIN)

Apply to become an authorized e-file provider and for an EFIN number, if you plan to file more than 10 tax returns electronically.

Before you can apply for an EFIN number, you must register for an IRS E-Services account, which could take about a month. Once registered, you can apply for your EFIN number: irs.gov/e-file-providers/submit-application.

Step 3: Obtain a Practitioner Identification Number (PTIN)

A PTIN is used instead of your Social Security number to file a federal tax return. Unlike the EFIN process, you may receive your PTIN number in 15 minutes through the IRS website: rpr.irs.gov/datamart/registration.do?from=loginPage.

Step 4: Software

* Windows 10/Outlook: I purchased the Microsoft 365 subscription.

* Adobe Pro DC Subscription: I pay a $14.99 per month subscription fee. I also use the included Adobe Sign service to obtain clients' signatures.

* Document Share: 1 use Smart Vault, a secure website where you and your clients login to securely share documents. You can link it on your website or email signature. It has an Outlook plug to request documents from clients, and they can upload them straight into their folder. You can also print a tax return from the tax software straight to the client's SmartVault folder. It costs $400/year per user.

* Tax Software: There are so many options. I use Intuit's desktop version, ProSeries. It costs about $2,000. It does not include some sophisticated forms in the package, so review your form needs first. Next tax season, I'm switching to CCH Access Tax, which costs more, but is...