Bookkeeper
A bookkeeper records the daily financial activity: categorizing transactions, reconciling accounts, tracking bills and invoices, and producing monthly reports. The goal is accurate books you can rely on. Bookkeeping does not require a license in New Jersey.
Accountant
An accountant works with the numbers the bookkeeper produces: reviewing them, advising on structure and tax planning, and often preparing returns. "Accountant" is a general term, so ask about credentials.
CPA
A Certified Public Accountant is licensed by the state. CPAs can prepare and review financial statements, represent clients before the IRS, and provide tax advice. If you need an audit, a review, or a formal opinion on financial statements, you need a CPA.
Enrolled agent
An enrolled agent is a federally authorized tax professional who can represent taxpayers before the IRS. Many small businesses use an enrolled agent for tax planning and returns.
What most small businesses do
Use a bookkeeper every month to keep books current, and a CPA or enrolled agent once or twice a year for taxes and planning. Clean books make the tax professional faster and cheaper. MCC Solutions provides the bookkeeping side and works alongside your tax preparer. We do not prepare tax returns.
Common questions
Can my bookkeeper do my taxes?
Only if they are qualified and registered to prepare returns. Ask. Many small businesses use a separate tax professional.
Do I need a CPA if I have a bookkeeper?
Most businesses still want a tax professional at least once a year, especially with employees, an S corporation election or multiple owners.
This guide is general information, not tax, legal or accounting advice. Rules, fees and due dates change; check with the IRS, the NJ Division of Taxation or a licensed professional for your situation.