After all these yrs, certain TP's still try

[AZ-Tax]

I have seen and continue to see some TP's try to pull the wool over the tax preparers eyes when it comes to fees paid in the past. Yesterday another one of those new clients wants to corner me on a fee w/o me even knowing their first name. I gave TP fee range then TP replied with the fee TP paid last yr which was lower then my range. I did not reply and TP wanted to see me yet yesterday so I squeezed TP in which usually is a sign they want to hire me. When I got looking at TP's tax organizer I emailed TP, behold, the tax prep TP paid for their 2009 tax return was above my range. Not the first I seen this and most likey not the last and I never ever mention it to the TP but man am I tempted therefore after they leave, I break out into a laugh. How about you, does your client do something so pathetically ridicules that you spend the next 5 min after they leave ROFL?

[RitaB]

Wool

Had one yesterday tell me that "Maintenance Fees" to I'm Smarter Than You University were in ADDITION to the tuition. "I don't have receipts for tuition for some reason, so we need to add the 1098-T amount to the receipts for Maintenance Fees."

My kid currently attends I'm Smarter Than You University. I went there 100 years ago, too. "Maintenance Fees" ARE the tuition.

I called the University while she was standing there. Number was on the receipts.

[Lion]

Probably Tax Preparer

Had a potential client come in for an estimate and to talk. Her schedule A for 2009 had $1,250 for tax prep fees. I looked at all her forms and schedules and very thick Schedule D and quoted between $1,000 and $1,200. She told me she pays $1,100 each year (that cancelled check was in the documents she left with me for 2010 preparation, so client is telling the truth). So, preparer (or someone in his back room) is reporting $1,250 when she pays $1,100. Oh well, at her income level, she gets a big, fat 0 for miscellaneous deductions, so it doesn't matter. I wonder if that CPA just reports $1,250 for all his clients, and then maybe, $2,500, $5,000, etc., for a few different price points.

PS She brought me three years' worth of returns/documents as well as 2010 documents, so the $1,100/$1,250 discrepancy was constant for three years.

[erchess]

Lion

Could it be that the CPA regularly does and is paid separately for other tax related work for that client during the year?

[JohnH]

Maybe $1250 is before some sort of early payment discount. (Not saying he's entering it correctly on the return since the actual amount paid is what governs, but that might explain the discrepancy.)