Morning rant but I got revenge

[jeff501]

A client I had prepared returns for last year was down on his luck and asked if I could wait on payment until he got his refund. This guy had come to me for at least the past five years and always paid so I gave him a break. Well as it turned out he didn't come in to pay and gave me all kinds of excuses ( I didn't know a set of parents could die more than once, for example).

Anyway, he came in the other day desperately needing a copy of his 2009 return. I asked what he did with the copy I gave him last year and he said he couldn't find it. I reminded him he still owed me and I would be glad to give him a new copy upon payment. He didn't have any money and I heard more excuses. I told him he could go to the IRS, pay $57 and they would mail him a copy in about two months.

About an hour later the guy came in with the money and paid and I gave him his copy. Even wanted to schedule an appointment for this year's return. When I told him I would need payment up front, he suddenly changed his tune and "would call later to schedule."

It doesn't pay to give people breaks it seems.

[AZ-Tax]

Similar Situation

Former client of mine called and said I lost my tax return. I said ok but I charge former clients for copies and I told her how much. I never heard back from her again. You think she located a copy at our local Wal-Mart : )

I wonder if there is another profession out there that hears as much lying as us Tax Preparers hear......I suppose, Judge, Police, Debt collectors etc.

[Jiggers]

Ditto here.

Several years ago I did a 1065 for a client. He never paid for the 1065 nor the 1040. His daughter was my secretary.

I kept after him, even after his daughter quit.

A couple of years later he came by and handed me a $20 bill, for "payment on account". Then he asked for a copy of the work papers for the 1065 as he was being audited and he threw away all his stuff.

I told him that for full payment of his bill that I would give him a copy.

He wanted me to represent him and I also told him that I want an advance on the audit.

He left, never paid, and then went to a CPA who got his money up front. I don't know why he never paid me.

The CPA called for copies of his work papers and I refused, told him why, and never heard from them again.

[tpnl]

Last year

taxpayer refers daughter. I did the return and the daughter gave a story of why should couldn't pay when the return was completed. She asked if it would be possible to pay when she received refund. (Our office policy is no, but we have made waivers) I agreed since the parents had been long time customers.

Taxpyer comes in to get their return done about a month after the daughter. They asked for the same deal. I said that I only offer that to one client at a time and if the client doesn't pay I don't offer to anyone else for the tax season. Taxpayer says in a snide tone "So you are saying my daughter has not yet paid."

"I am not saying that at all, but I am saying the last person who I allowed to pay when they got their refund, never came back to pay." Taxpayer pays. The daughter came in the next day to pay. You could tell her parents probably yelled at her or at least got on her case about paying because she was not happy.

[luke]

my attorney

It doesn't pay to give people breaks it seems.

told me years ago - "No good deed goes unpunished" (and it has been proven over and over - guess I'm a SLOW learner?)

[luke]

adult daughter

of one of my monthly bookkeeping clients always had us do her personal taxes and then would tell us "My dad will pay for it" - so after a year when Dad hadnt paid for HIS (or hers) she came back and my office made her PAY for her current yr return - she got upset and went somewhere else! What a concept getting PAID for services performed! (yes Dad did eventually pay for all back $ due - he does however have a new tax preparer now)

[Davc]

I wonder if there is another profession out there that hears as much lying as us Tax Preparers hear......I suppose, Judge, Police, Debt collectors etc.

Are you assuming lawyers and politicians can't hear themselves?

[AZ-Tax]

Why cant we refer these dead beat clients to..

our Risk dept where they would have to pay higher tax prep fees. You know, like the auto insurers when you have to many violations and/or claims. But all tax preparers would have a risk dept.

[death&taxes]

Some people actually have integrity!

Had a long term client who really could not pay. You know the story, heart attack, surgery, wife left with the kid, lost his job, moved in with his Mom, then moved to South Carolina... I cut him a break and told him the fee and that when he got back on his feet to come in and pay his bill. 3 years later he shows up with a rose and payment in full.

[oceanlovin'ea]

my experience this year

Had a second year client call and tell me he was ready to get his taxes done but he didn't have the money to pay me now. I told him we would work something out and to come in. Wife had second baby, he got laid off, found another job but makes half the hourly rate he did before and they are just scraping by. He asked me if I would let him pay me when the refund came in. He was so happy to be getting a large refund. He said he could afford to take some days off the job he is working to look for a better job.
They are a very nice Christian couple and really trying to pay their own way. He even offered to pay me double my fee if I would let him pay when his refund came in. I told him paying double wasn't necessary but they insisted. So I agreed to do it. They kept promising to pay me as soon as the refund deposited. I jokingly said that I knew where they lived.

He called yesterday morning around 8 and said his refund had been deposited and he would be by sometime during the day with my money. They came around 11 and gave me double my fee and thanked me for doing that for them. Said they would see me next year.

So sometimes it works out.

Linda, EA

[JohnH]

Good stories.
Very inspirational, and it tells as much about you as it does about the client.

Thanks for posting to both Linda and death&taxes

[joanmcq]

I have some former tenants and neighbors who I let pay when they get the refunds. They are simple returns, and my 'early birds'. I've been doing this for years, and now do it for their kids, and it has never been a problem. I have a couple more who work for the state and get paid Feb. 1. I usually do their returns as soon as they get their W-2s, and will hold the checks til Feb. 1; its kinda like watching a refund for deposit. I know when the money's going to be there!

[kpangelinan]

You'll get both...

I've had both the good and the bad stories....for the ones that don't pay or are slow in pay, we have them prepay the next year if we decide to keep them on as clients.

[Bonnie]

Everyone will think I'm crazy but I let seveal people do this every year. Some are same ones years after year. Most leave me a check that I cash when their refund comes in. Of course I always know whent that happens, E-file with DD. Others don't even have checks so they come back with cash after refund comes. I've never not been paid yet. Also have customers from afar and they mail my payment after I file return. Again never not gotten paid.

[DMICPA]

Sometimes patience pays

Years ago I was working as a CPA at a small firm. The firm had a client that racked up $500 a month in fees but never paid or was way behind. This went on for years and years. I asked the founder why this is going on. He said that the staff was already here, that the client was used to train people and for slow times and someday may even pay.

More years go by, I buy the firm, still doing the bokkeeping for the client but more in contact with client about payment of past due and current fees.

On December 24 one year, client walks in and hands me a check for $24,500! for all the past work.
I ran to the bank and the check cleared. Kept the client and he always paid.

The same firm and founder had another client that owed $120,000. The client eventually paid every cent.