I wont deduct it and I loose a client

[AZ-Tax]

Back in early Feb I had a prospect who wanted me to deduct his moving exps even though he has been retired for years. I told him they are not deductible and he disagreed citing another tax preparer deducted them on his prior move for which he was also retired. I even emailed him a document proving it. Well I have not heard back from him so I am guessing he either prepared his own tax return (doubtful) or found a tax preparer that was willing to deduct his moving exps.

Hopefully this mandated licensing, CE credits, tax prepararer incompentance penalties will reduce the existance of these tax preparer's

[JohnH]

You didn't lose a client.
You dodged a bullet.

[FEDUKE404]

Good riddance

It probably was a good thing you did "loose" him....

There are gray zones, and then there are black/white zones, within the tax laws.

I would have loved to have heard his description of WHERE he actually worked before and after the qualifying moves.

Quite frankly, you spent more time with him than I likely would have done.

Perhaps his prior preparer was either his barber or his auto mechanic??

FE

[Possi]

Good riddance

I do pray the new designation for tax preparers makes a dent in this kind of dealing. I have been in 3 audits, and skated through every one because my returns were all done with integrity.
I know that I ask aggressive questions and whine when I get a "no," but I always do what is right. It is because I want a good reputation for honesty.
When I first started out, I worked for an accountant who took huge liberties with charitables, rental properties and other gray areas. I knew that if I ever had my own business, I would never do that.
None of us wants anyone to pay one penny more than they absolutely must pay, so we are looking out for our clients. I love this forum, where I can ask aggressive questions, and figure out how to take the deductions correctly.
Dodging bullets, well said.

[ttbtaxes]

Do you think it's too late to get him back if you call and apologize? ;o)

[AZ-Tax]

How about an advance apology

Do you think it's too late to get him back if you call and apologize? ;o)

I was thinking of apologizing to him in advance for turning him into the IRS

FEDUKE404 how do you make that grin symbol?

[WhiteOleander]

What he says may be accurate. But, it's also very likely he is telling an untruth. The prior preparer didn't deduct the expense. He just thinks he/she did because that preparer didn't even bring it up to him. Sometimes the preparers just don't discuss the issue to avoid the arguement and losing the client. (not saying this is the ethical way to handle the situation) OR....the taxpayer might have tried to bully/bluff you into it.

[AZ-Tax]

Bluff, no, not knowing on previous return, maybe

What he says may be accurate. But, it's also very likely he is telling an untruth. The prior preparer didn't deduct the expense. He just thinks he/she did because that preparer didn't even bring it up to him. Sometimes the preparers just don't discuss the issue to avoid the arguement and losing the client. (not saying this is the ethical way to handle the situation) OR....the taxpayer might have tried to bully/bluff you into it.

Bluffing me, probably not for he qualifys for my fellow church member discount meaning good price. Not knowing wether or not his moving exps were deducted, maybe but doubtful he talked rather knowledgable about his tax return. This leaves a 3rd possibility, he prepared it himself w/o moving exps but thought he could locate a taxpreparer that might deduct it.

[JohnH]

It's one thing for someone to ask about a wrong deduction because they don't understand the tax law. They are entitled to a reasonable explanation if you are consiidering them as a client.

But once it's been explained to them, if they continue to insist that you take the deduction, that takes it to an entirely different level. That client is clearly looking for someone they can bully into doing their bidding, and if you give in they will bail out on you the second a problem arises with IRS. They've given you a clear signal that they need to find another preparer.

[luke]

client lost

I am NOT optimistic that new RTRP will do anything to even slow down this kind of nonsense! It is not only the "kitchen table" tax preparers who take "liberties"! I have seen several returns over the past couple of years prepared by CPAs that were unbelievably wrong (not just honest errors but totally out of line deductions taken etc) Just sayin......

[RitaB]

Agree

I am NOT optimistic that new RTRP will do anything to even slow down this kind of nonsense! It is not only the "kitchen table" tax preparers who take "liberties"! I have seen several returns over the past couple of years prepared by CPAs that were unbelievably wrong (not just honest errors but totally out of line deductions taken etc) Just sayin......

Totally agree with you, Luke. As you say in Star Wars:

"I have a very bad feeling about this" - Luke

[LCP]

Perhaps he intends to go back to work in the time frame required.

[JohnH]

The OP said he has been retired for years.
How does he address the "old job" vs "new job" distance requirements?

[manyhappyreturns]

Integrity always pays off in the end, although sometimes it's hard to see it. It's so not worth it to appease clients and take risks just so they can get a bigger refund. The law is the law, and clients need to know we won't break the law so they can get more money.

[joanmcq]

Yes, I had one that took his docs back on Monday "to get the rest of the information". If I don't see him back, I'm not concerned.

And after he tried to haggle price and wondered why I couldn't prepare 'on the spot' (I have at least 80 returns left to do that came in up to three weeks ago), really not concerned.