One KSM Way Quick Checklist Entity & 1040
One KSM Way Quick Check
Purpose: Create a firm standard for quality in return preparation. Preparers review this list before sending a return to a reviewer. Reviewers check this list and immediately return work to preparers when items are not addressed.
KSM Way – Business Preparer Quick Check
- Review current and prior return comments workpaper, correspondence, and prior amended returns for any future carryforward notes that impact the return.
- Confirm balance sheet is in balance and that income reconciles to appropriate financials (Engagement TB, PBC TB, or other workpaper).
- Book-tax reconciliation should be reconciled to return.
- Confirm ALL supporting schedules in DMS/Engagement match the return, unless an exception is noted.
- Verify that assets are reconciled between return and workpapers (where appropriate) and that current year depreciation and amortization tie between the return and workpapers.
- Review retained earnings to ensure beginning retained earnings ties to prior year ending retained earnings.
- Clear all E-Filing and Warning diagnostics or address those that cannot be cleared in the return comments.
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Update Practice Engine by adding/removing jurisdictions, updating staff roles, and year-end. Update the delivery section in PE, ensuring delivery options and emails are selected. Add notes for the Tax Processing team as needed.
Is this ready to send to the client, except for any open items specifically addressed in the return comments file?
KSM Way – 1040 Preparer Quick Check
- Review current and prior return comments in SPBinders, correspondence, and prior amended returns for any future carryforward notes that impact the return.
- Confirm ALL supporting schedules in DMS/Engagement/SurePrep match the return unless an exception is noted.
- Complete Income Reconciliation in SPbinder
- Use the Interest and Dividend Summary and the Passthrough Recap Schedules found in the ACCT copy of the CCH Axcess Tax tax return to reconcile
- Clear all E-Filing and Warning diagnostics or address those that cannot be cleared in the return comments.
- Compare current year’s tax return to the prior year tax return and provide explanations for large variances, differences, inconsistent amounts, and surprise items within the work papers or return comments.
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Review all filing instructions and ensure that they are consistent with the current year return including:
- Appropriately stated suggested estimates for the following year
- Modifying custom paragraphs as needed
- Due dates on transmittal letters
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Update Practice Engine by adding/removing jurisdictions, updating staff roles, and year-end. Update the delivery section in PE, ensuring delivery options and emails are selected. Add notes for the Tax Processing team as needed.
Is this ready to send to the client, except for any open items specifically addressed in the return comments?