"fighting Couple"

[SueBaby]

Clients got a divorce and "hate" each other now. They want me to split everything in half. How can I do that when they have alot of 1099s; selling the house, cancel of debt, mortgage, and a job they have together with a 1099? Don't the IRS look at that number on that 1099 without splitting it?

They even wanted to split the daycare and I said you can't split that up without using the SS# twice-----so NO in that.

They can't stand each other and it has been hard to reach them to even talk with them without blasting the other for an hour!

What would YOU do ? and how would I split this all up and be right for the IRS? Thanks again many times over.

[Larmil]

What would I do?

Clients got a divorce and "hate" each other now. They want me to split everything in half. How can I do that when they have alot of 1099s; selling the house, cancel of debt, mortgage, and a job they have together with a 1099? Don't the IRS look at that number on that 1099 without splitting it?

They even wanted to split the daycare and I said you can't split that up without using the SS# twice-----so NO in that.

They can't stand each other and it has been hard to reach them to even talk with them without blasting the other for an hour!

What would YOU do ? and how would I split this all up and be right for the IRS? Thanks again many times over.

I would not serve them.

[KBTS]

You will never make them happy and will probably wind up in the middle of a big fight - tell them politely their return is too complex for you and send them elsewhere.

[JohnH]

Absolutely - send them on their way.

This is why there are divorce lawyers, and the clients will pay them thousands whereas they'll argue with you about every penny you charge for your services.

[Snaggletooth]

One Party

Either bail out entirely, or decide to prepare for one of the couple and not the other.

Tailor made for a conflict of interest if you decide you can help both of them. This will be the most miserable return(s) you've ever done.

[BP.]

and it has been hard to reach them to even talk with them without blasting the other for an hour!

And they've already received over 59 mins of your precious time.

[SueBaby]

Either bail out entirely, or decide to prepare for one of the couple and not the other.

Tailor made for a conflict of interest if you decide you can help both of them. This will be the most miserable return(s) you've ever done.

Thanks for all the responses on this matter; that is what I thought of doing either just one or none. They are even fighting over the even and odd years to take the child. Do not have time or patience for this one. Thanks again

[DaveO]

Time is needed for cooler head to prevail if possible. I'd offer to file extensions for them both to give them some cooling down time. Then I'd pick one or none depending my my gut feeling about working with them.

[RitaB]

Good Suggestions

Time is needed for cooler head to prevail if possible. I'd offer to file extensions for them both to give them some cooling down time. Then I'd pick one or none depending my my gut feeling about working with them.

All good suggestions, and I agree that these people need some time to get over some of their anger so they don't shoot themselves, and you, and their child in the foot (or heart).

I have heard Dave Ramsey say that when you inherit money and are grieving for the deceased, park it in a money market fund for at least six months. Don't try to make big decisions when your emotions are so overwhelming.

(OK, that was not even close to your situation, SueBaby, but it's the first thing I thought of.)

[ChEAr$]

What you didn't tell us

Clients got a divorce and "hate" each other now. They want me to split everything in half. How can I do that when they have alot of 1099s; selling the house, cancel of debt, mortgage, and a job they have together with a 1099? Don't the IRS look at that number on that 1099 without splitting it?

They even wanted to split the daycare and I said you can't split that up without using the SS# twice-----so NO in that.

They can't stand each other and it has been hard to reach them to even talk with them without blasting the other for an hour!

What would YOU do ? and how would I split this all up and be right for the IRS? Thanks again many times over.

is just when the divorce occurred.

If it occurred last year, you might choose the one client you want to keep and tell the
other one where to go. (I mean refer to another! grin)

If divorce THIS year, and they are still married as of 12/31/08, different story.
You read them the riot act and offer either to do the return jointly, or two returns separately
but using only data for each one, e.g. 1099's, etc.

Don't throw the baby out with the bath water.

[SueBaby]

is just when the divorce occurred.

If it occurred last year, you might choose the one client you want to keep and tell the
other one where to go. (I mean refer to another! grin)

If divorce THIS year, and they are still married as of 12/31/08, different story.
You read them the riot act and offer either to do the return jointly, or two returns separately
but using only data for each one, e.g. 1099's, etc.

Don't throw the baby out with the bath water.

I want to throw them both out with the bath water and save the poor baby they are fighting over.

They got a divorce in Sept and still hate one another and they still want me to do both taxes, since I have for years now, but separated. They don't want to go anywhere else since they don't know them. (tax wise) I personally hate the situation and advice to give both an extensions but said no deal one wants to get married and buy a house this year.
I already have a headache and having done nothing with it so far.

[Anarchrist]

Stiffen your spine and stand up. It seems that every tax bulletin board and email list I'm on, every time someone has a difficult situation, a bunch of people reply "run". A difficult job means lots of money. Charge for the work you do instead of running away.

What do you normally charge this couple? Double or triple your hourly rate. If you normally charge them $500 together for the two of them, get a $1000 retainer from each. You've already quadrupled your income. Don't answer any question, don't do any work, don't even be polite, until you have the $1000 in your hand. Get signed engagement letters. Make sure the letter is comprehensive and includes necessary conflict of interest disclosures. Make sure it states that all fees will be paid in advance. If not paid all work stops.

If they argue with you about every penny you charge them but pay their lawyers thousands unquestioningly, it is because you let them. Tell them to shut up, pay the bill, or go elsewhere. Tell them they created a difficult situation and difficult situations are expensive. They created they pay. Tell them every time they argue with you about the bill you add a $100 fee to their bill. When your retainer runs out, get a new one and stop doing any work until it is paid.

Tell them you are filing an extension. If they don't like that they shouldn't have created such a f'ing mess. If they don't want an extension tell them instead of a $1000 retainer it will be $3000. That's $3000 each and unless you have $6000 in hand an extension will be filed for both.

They want to use your services. Instead of complaining about that, bill them for your services. Your making this much more difficult than need be.

[RitaB]

Good post

I'm tired of making less money than lawyers and doing more work. Clients don't treat lawyers, doctors, dentists, like they try to treat us. That might get better if we stop letting them. I am inspired now. Thanks for the good slap and "snap out of it!" admonition.

[BHoffman]

Ewww. I have a divorcing couple who hate each other now too. What a mess! Fortunately, they are out of state so I don't have to contend with them arguing in front of me. I refuse to prepare for Hubby and am extending Wife's return until she visits her family and has a chance to get some moral support and hopefully calm down.

If you want to get tough (and IMHO you should), you might give them a steely look and sternly inform that you are not a marriage counselor or a divorce attorney. You might tell them they need to settle down and get to business. These decisions should have been made before they came to the appointment. Arguing at the tax office is neither appropriate nor productive. Tell them they are wasting your time and you don't appreciate it. Tell them to either find another preparer or come back to you fully prepared.

This isn't a whole lot different than any client who shows up at the appointment without all the info needed to prepare the return. You send them away with a list of stuff they need to bring back to you.

You might tell them it is their responsibility to come up with a legal and viable way. Based on the issues, you could give them the facts as to what is legal and viable: "Only one of you can deduct that item. Get back to me when you decide"

That might put the burden on them (where it belongs) to decide that an extension might be their only option if they cannot come to an agreement before 04/15.

Best of luck to you in dealing with this nonsense. It's very rude for them to fight in front of you . It's like having a client who sits there and farts long and loud. They should be ashamed of themselves for stinking up your office.

[JohnH]

It's like having a client who sits there and farts long and loud. They should be ashamed of themselves for stinking up your office.

I wondered whatever happened to that client - apparently he moved to Arizona.