Questions on Potential Clients

[geekgirldany]

I've had a couple of attorneys referred to me. I've never prepared an return for an lawyer... what are some things I should know before I meet with them that are particular to this type of return?

I know they have trust accounts for clients but what else is different?

Thank you
D

[taxea]

review the IRS audit procedures for attorneys

[geekgirldany]

Great... I did not think of that. I will definitely look at it.

I tell ya we have some smart people on this forum

[Roberts]

http://www.aicpa.org/InterestAreas/Tax/Resources/TrustEstateandGift/ToolsandAids/DownloadableDocuments/IncomeTaxTrustEstates.pdf

Might want to print that off and give it a read. I keep it handy. Also print off IRS instructions for 1041 returns.
I do the returns for an estate attorney. There are several rental farms, several rental properties, LOTS of 1041s of all varieties of trusts (which change sometimes). Sometimes form 709. Don't guess or assume anything - always ask for clarification and reconfirmation.

[TaxGuyBill]

From a non-tax perspective, I would interview the attorney's first (like most other clients).

You need to know what kind of people they are. Are they going to give you the work and be thankful you've done it, or are they going to scrutinize and/or argue every little thing? In a sense, attorney's are TRAINED to argue. A scrutinizing and/or argumentative attorney might be more than what you want to deal with.

[geekgirldany]

True on interviewing them like anyone else. Actually this is to do their personal/business tax returns not their clients.

[ATSMAN]

No deduction for Business Suits

One of my client's had to be convinced with a lot of effort that his prior tax preparer was wrong in allowing deduction of his business suits because it is mandatory attire in our court systems. The logic that mechanics can deduct their uniform because it is required by the shop does not hold true even if they have monogrammed dress shirts!

More recently I have noticed some junior level attorney's doing barter trade for their services. Ask the question and show them the regs.