Ask An Expert

I suspect some of the tax advice I see on social media is incorrect, but how can I know?

Joann North

Answered By

Alicyn McLeod

CFO at Agate

Alicyn@agatecpa.com

Question:

I suspect some of the tax advice I see on social media is incorrect, but how can I know?

Answer:

Caring & knowledgeable accounting & tax professionals are often too busy taking care of their clients to post on YouTube, etc. Which means most of the messaging on social media platforms comes from unreliable sources.

Here are some thoughts as you’re scrolling:

1. Don’t assume a large following & engagement equals accuracy.
2. Money & tax advice is custom to the recipient. If it sounds like the creator is trying to advise EVERYONE, it could be they’re actually helping NO ONE.
3. What are the creator’s credentials? A legitimate tax advisor is likely a CPA, EA, or tax attorney.
4. Ask yourself: are you being educated or are you being SOLD? There’s nothing wrong with creators having products or courses to sell. Just make sure what they’re trying to sell to you is on the up and up.
5. If someone is telling you LLCs and trusts are a great way to “never pay taxes again”, unsubscribe.
6. If you hear “your CPA doesn’t want you to know” or the “IRS doesn’t want you to know”, unsubscribe.

It’s a tax jungle out there. Stay alert!