H.N.R. Clark

Tax preparation for people who work in film, music and publishing

H.N.R. Clark is a Los Angeles area tax firm that concentrates on the entertainment industry. It describes itself as an entertainment industry tax specialist and says it has prepared income tax returns for creative clients for more than 40 years. The firm states that it serves over 1,500 clients from its Burbank, California office and has grown to be one of the larger tax preparation practices in the area largely through word of mouth. Its stated aim is to give accurate, honest service while keeping the tax bill as low as the law allows.

A founder who came from touring

The firm was set up in 1980 by a former professional touring drummer who did tax returns between February and April and spent the rest of the year on the road. According to the firm, that background gives it an understanding of creative individuals and of how their businesses run. Its clients include musicians, writers, photographers and film crew such as lighting and animation specialists. The name is a deliberate play on a national tax chain's initials.

The team and the work

The current team includes two enrolled agents and a certified public accountant. The accountant began his career at a national public accounting firm in 2012 and works on entertainment industry clients, S corporations, individual returns and small businesses, with advice on retirement plans and the choice of business entity. One of the enrolled agents also came from a large national accounting firm and has worked on entertainment, S corporation, individual and small business returns.

How an engagement runs

A client books an appointment with a preparer, who reviews the tax information, answers questions, gives advice and often estimates the refund or amount owed. The documents are sent in about a week ahead, by drop-off, post, email or a secure upload link, and the firm asks clients to complete its worksheet and to send high-quality PDFs rather than photographs. After the meeting the team checks and signs off the return, which is normally finished within two weeks, and the client can have a paper or PDF copy.

Questions the firm answers for clients

Its guidance covers what happens when April 15 appointments are full (the firm files an extension but the client must call to request it, and any tax owed should be paid with the extension to save interest and penalties), the optional audit insurance under which the firm represents a client in an audit, when a business must issue 1099 forms to contractors, how long to keep old tax records and receipts, and why the City of Los Angeles asks creative workers for a business license.