Announcement

Collapse
No announcement yet.

Need some advice

Collapse
X
Collapse
 
  • Page of 1
  • Filter
  • Time
  • Show
Clear All
new posts
Previous template Next
    #1

    Need some advice

    Got a new client in August of 2009. Had to do a bunch of catch up work on accounting, etc, because the previous CPA hadn't done much. Noticed a few odd items from the previous year, but didn't think much of it. Old accountant was impossible to get anything from.

    Fast forward to today. Just found out the old accountant was arrested and charged with a variety of felonies relating to his own tax returns at the behest of the MN DOR.. From what I can tell, he was remanded to custody at his bail hearing.

    Two questions: Should I check to see that all of the items he said he filed (941's, tax payments, etc) were actually done? We got a notice about a week ago about the Q1 2009 941 not being filed, so I have my doubts anyway. Two: considering what the guy was arrested for and what he did for a living, and knowing the state has more resources availible than the Feds as a rule here, should we be prepared for an audit notice as a result of this?

    ATG
    "Congress has spoken to this issue through its audible silence."
    Anyone ever notice they beat the daylights out of the definition of a child, but they don't spend much time at all defining "parent"?
    Tags: None
    #2
    If you are on eservices get a POA and pull transcripts for the time periods in question. That will give you both peace of mind or perhaps more billable hours for you.
    In other words, a democratic government is the only one in which those who vote for a tax can escape the obligation to pay it.
    Alexis de Tocqueville

    Comment

      #3
      I agree

      I second what Dave said. That way you know what was and what was not filed and you can see the returns to see if anything "unusual".

      Dusty

      Comment

        #4
        Don't forget

        that MN uses a different POA than the Feds do.
        Larry

        Comment

          #5
          Time bomb is ticking

          I won't really address what you should or should not do, but FYI:

          A local tax "professional" had many happy clients, and his fame spread. At some point the IRS/NCDOR noted some problems with his returns.

          In a nutshell, the preparer was fabricating all kinds of stuff on the tax returns. (A previous client came to me, showed me the same tax records given to that preparer, and the records simply did not match what was on the tax return. Let's just say they had been enhanced.)

          My advice to the potential client was that perhaps an attorney should first be contacted. (At that point, there were only "rumors" about the preparer.) I never heard from the potential client again - maybe I asked too many questions that were new ones to the client?

          Somewhat fast forward: The preparer was arrested, tried, and given an immediate active jail sentence. Every one of his clients tax returns was later audited.

          So, be very careful of what you might be stepping into......

          FE

          Comment

            #6
            Originally posted by FEDUKE404 View Post
            Somewhat fast forward: The preparer was arrested, tried, and given an immediate active jail sentence. Every one of his clients tax returns was later audited.

            So, be very careful of what you might be stepping into......

            FE
            I'm already in this client up to my ankles at the moment. The representation work could be interesting. I revert back to my mantra: speak softly, and carry a big E&O and litigation insurance policy.

            ATG
            "Congress has spoken to this issue through its audible silence."
            Anyone ever notice they beat the daylights out of the definition of a child, but they don't spend much time at all defining "parent"?

            Comment

              #7
              Originally posted by FEDUKE404 View Post
              I won't really address what you should or should not do, but FYI:

              A local tax "professional" had many happy clients, and his fame spread. At some point the IRS/NCDOR noted some problems with his returns.
              And no doubt all of his customers never thought to ask questions about why he was getting them so much larger refunds than others could.

              I do not feel pity for these taxpayers. They are either stupid or they know something is going on, and just do not want to ask because they think if they do not know that they can't be held responsible. If they accidentally stumbled into his office -- MAYBE. But when they're going to this guy because he's building fame and becoming famous for his super large refunds, sorry, you (the taxpayer that is) should know better.

              Comment

              Previous template Next

              Disclaimer

              Collapse

              This message board allows participants to freely exchange ideas and opinions on areas concerning taxes. The comments posted are the opinions of participants and not that of Tax Materials, Inc. We make no claim as to the accuracy of the information and will not be held liable for any damages caused by using such information. Tax Materials, Inc. reserves the right to delete or modify inappropriate postings.

              Working...
              X