You're watching...
Liberty Tax CEO John Hewitt on the impact of the fiscal cliff negotiations on taxpayers.
Also in this playlist...
Auto-advance: ON
Auto-advance
This transcript is automatically generated
-- -- -- on Washington.
Even during that -- -- is still trying to find some type of solution to avoid the potential tax hikes and spending cuts set to hit at the end of this year so.
What taxes are coming April 15 how could you the tax -- prepare for whatever type of decision comes out of the beltway.
Joining me next -- knows he's John Hewitt.
Yes of course from the former Jackson Hewitt but he is chairman of CEO about liberty tax -- -- largest.
Tax preparation businesses oh boy a lot of people want to hear from you because.
Perhaps there's a low grade panic going on in their hearts and minds right now -- what should I be doing an advanced.
Limit my tax bill that I might -- can you even know -- we don't know the landscape.
It's hard to tell and its its most confusing it's been in my 43 -- your career.
There are servants things we can do in certain situations -- you need to check with your tax advice we even help people that our customers are you -- we'll give you advice as to your particular situation.
Well let's break up some of the most common particular situations I know everybody's different but what are you seeing is there any way to minimize.
What could be coming the payment could be coming for tax bills.
It's it's difficult to tell if gifts we go over the fiscal -- I think the biggest danger of more than the tax situation is the economy.
-- under one thing that isn't talked a lot about is.
Refunds are gonna be later than they've been in 25 years the iris is gonna delay refunds.
Just because they postponed electronic filing start -- in addition to that they're still.
Trying to put the final touches on the last forms waiting for the changes so some -- I filed and I mean Gingrich may have going to put.
This is why we happy because who would have thought yes they are waiting the -- -- -- -- And at at some point there are the early birds who who want I know some of -- out there thinking but I wanna get started now.
Exactly there's 220 million people that will file but typically by January 31 -- you see in the refunds in January.
They're not gonna give to abort its gonna affect the whole economy -- are not everybody procrastinate.
Exactly at a but about.
50% of people do wait until -- about 50% want their money quickly.
OK so tax refunds could be delayed.
Is there anything people can do to make sure they get their some time -- people depend on that refund.
Exactly there's really nothing they can do the -- -- made a decision.
To postpone electronic -- the end it is going to be worse if congress doesn't come to -- resolution quickly.
Your tax prepare -- by the way your franchise business but do your tax prepares are they standing by waiting to go to quickie college to figure out how to deal with the changes for the clients a comment.
Exactly breathlessly.
We have a webinar that will be will be showing as soon as the final changes are announced and will train all of our 30000 prepares across country.
So everyone's on -- -- if it were to hit.
In the next 48 hours would you start right then and there.
Exactly traditions it will be very go within 24 hours of giving information how want to take to train an individual that it depends on the difficulty of the changes typically it's.
It's less than eight hours a year.
Many taxpayers have been confused and they turn to companies like yours do you expect this to help your business you're one of the fastest growing tax prepares exactly you know this is.
There's a silver lining for you -- it is it.
It's interesting to say this reserves life death tax and change and change price people to prepare us so there's going to be millions of questions they're gonna call us and him.
It's good it's good for our business.
What type of resolution would you as a business owner and C yeah we -- SE.
The I would first -- like to solve -- the tax situation.
But also lending to small businesses really dried up.
In the number franchise worth of all kinds in the United States McDonald's -- celebrity has declined over last three years that needs to get back companies.
We need to find lending for small business because after all everyone says.
Televisions -- the job creators.
But in the end you started many businesses you've been super successful you've got -- gold standard name and tax preparedness.
Is this still the best nation to start of -- since.
It still is but it's declining every year.
On that note I don't wanna end -- that we hope that let's say picking up some optimism going good to see -- -- thank you thank you listen John Hewitt is liberty tax CEO David.
Optimism is his his business is going up because of that was good -- while home.
