The coronavirus disease or COVID-19 has hit almost every country in the world and taken thousands of lives. Countries like the USA, and Italy, with a robust medical infrastructure, are struggling in this fight against the invisible enemy. According to Worldometer (at the time of writing this post), 303,863 people have already died of the coronavirus.
The pandemic has forced people to stay indoors and start living with the basics. With businesses being shut, factories being closed, restaurants being able to take delivery orders only, and people working from home, the global economy has been walloped.
Technology is being utilized at its best in this time of crisis. People are using digital payment methods for buying groceries, ordering food online, using video conferencing instead of physical meetings, sharing data over the Internet, and the like.
But what does this situation mean for accounting professionals as the tax filing season is already here? How will they file the taxes? The answer to these questions is straightforward – by moving their accounting software to the cloud.
So, what are the benefits of a cloud-based tax solution? Let’s find out:
Table of Contents
1. No Software Installation
The problem with conventional accounting applications is that they needed to be installed on every machine of the finance department. This is not feasible during the current time when everyone is working remotely.
Accountants can use cloud computing accounting software instead, wherein the cloud hosting provider setup and install the software on their cloud servers. All you need to do is type the URL in the address bar (or RDP software) and enter the credentials to log in.
As the software is hosted online, there’s no need to hire IT professionals for support and updates.
2. 24/7 Support
As a CPA, you may need customer support during non-business hours during the coronavirus crisis as the tax season is extended. Moving to a cloud-hosted tax filing system makes sure that you get 24/7 support from the cloud provider at the click of the mouse. This will help you maintain the same level of productivity while working from home during the pandemic.
3. Multi-Device Access
Did your laptop break during the lockdown, and there is no means to get it repaired? Is your work suffering as you cannot access your financial data? Cloud-hosted tax filing applications empower you to access the financial data from any multiple devices such as a smartphone, laptop, and tablet so that you get accessibility to your tax process, irrespective of the device you like.
4. Enhanced Data Security
With most people working from home, it gives hackers a golden opportunity to exploit the security of networks and gain access to sensitive information. Cloud hosting of data ensures that the data is more secure than a local server because it is stored in a state-of-the-art data center by the service providers at a remote location.
Moreover, the service providers use the latest firewalls, along with multiple levels of security like data encryption, multi-factor authentication, antivirus, anti-malware, etc., to ensure that your data is safe and secure.
5. Fewer Errors
Using a cloud-hosted accounting solution means that all the information saved at a centralized location. Hence, the chances of human accounting errors reduce considerably as the data flow process is optimized, where multiple users can work on a single platform.
Moreover, all the required apps can be hosted together to reduce any chances of error.
6. No Compilation
Do you feel that compiling different versions of the same reports is a tedious task? Not with the cloud anymore. Hosting the tax software on the cloud offers the ability to let multiple users collaborate to the same sheet at the same time, and helps CPAs and accountants save a lot of time.
Also, the amount of access given to an accountant can be restricted. If a person handles filing taxes, he’ll be granted access to the taxes portion and will not be able to see the rest of the information.
7. Save Time Efficiently
Everything around us like offices, schools, malls, salons, restaurants, etc. are closed. This means that you’ll need to execute all your daily life activities by yourself, and they will consume a lot more time than before.
Thus, during this extra-busy tax season, there is a need to automate workflows to save time; cloud-based accounting solutions let you achieve that. For instance, you can create simple workflows that remind the user to clear the dues at the end of every month.
8. Integrate Add-Ons
Two are always better than the one; the same is true in case of tax filing applications. When a tax-filing software is hosted on the cloud, you can integrate any number of third-party add-ons with the tax software, getting a complete tax solution on a common cloud platform.
9. Better Scalability
The current times are very unpredictable, where there is a need for scalable solutions, and traditional accounting applications offer no scalability. Cloud-hosted solutions are capable of providing scalable solutions that meet the demands of the dynamic nature of the current market.
You just need to contact the cloud service provider in order to upgrade or downgrade your tax process on cloud instantly.
10. Better Work-Life Balance
One of the most challenging things while working remotely is to maintain a proper work-life balance during the pandemic. Cloud computing and remote working will induce a new mindset where individuals will be able to be more productive and give proper time to their families.
The cloud is the need of the hour for all the accounting professionals in this time of crisis. There are several benefits it offers by making the lives simpler and smoother. Everything you need will be accessible over the Internet; forget about downloading sheets and sending them over emails.
If you want to know more about the benefits of cloud-based tax-filing during the COVID-19, connect with our Solutions Consultant at 855-223-4887.