[Cyber]

First, if you're reading thank you. Second, things are tough for everyone (especially service industry in my neck of the woods) and I think more people are trying to overbill and get over on one another.

I just find out today that my CPA hasn't filed my taxes for 2007. I know he filed a 6 month extension in April 2008 but he never followed through. Moreover, I paid him for services back in April....

Now - 2009 - he's whipping out a huge bill out of his ass for 2007 (claiming he worked extra hard hours) and wants me to come in and sign the papers and write him a check. What do I do?

Thank you in advance.

[WLS]

Yikes! Did he ever give you your 2007 to sign and send?! If he did not, I would refuse to pay and then get a new accountant.

[Cyber]

Nope. I thought I signed a limited power of attorney but it wasn't. Besides, doesn't he have a fiduciary duty to provide me notice?

[Tondtar]

If he is not doing his job in your opinion (and since a late filing is a proof in this case), he is not entitled to get paid.

[Cyrax91]

Yes he does have a fiduciary duty to give you notice. You are going to have late payment of interest and penalties as well calculated from Oct 15th. If I were you id be pissed. I wouldn't pay the bill and id try and make him pay for your penalties. Sucks dude. Get a new accountant for sure. I do tax work and I know that him not following up with you to file your 07 taxes is his fault.

[Cyrax91]

Actually im assuming you owe tax. Then you'll have interest and penalties.

[Cyber]

A friend of mine told me that I'm fucked because there is a good chance his negligence will lead to me getting audited.

I'm sure there is no way I'm going to get him to tell the gov "Hey I fucked up" probably or else he'll lose his license right?

I don't feel like paying his unreasonable fees because he didn't finish the job in the proper time alloted and now I'm on the hook for it.

What can I do to not pay him?

Thanks for all the great replies.

[Cyrax91]

Im not really sure of the legality issues with not paying him, but honestly id just tell him to give you your stuff and tell him to go fuck himself. And not pay him shit. I dont think he can do anything.

[Cyber]

Originally Posted by dpavlakos91

Im not really sure of the legality issues with not paying him, but honestly id just tell him to give you your stuff and tell him to go fuck himself. And not pay him shit. I dont think he can do anything.

Thank you so much. I believe its assholes like my CPA that told banks all the sub-prime lenders were AAA.

Couldn't he cry foul for not paying him for work he did although extremely late?

[ejazbmw]

why don't you talk to him and see whats going on

[777ER]

If you didn't get the 2007 tax papers from him to be signed and sent to the IRS and the state gov't, I would've gave him a call in Sept '08 and find out what the hell is going on...if it's a lame or bs excuse with no legit and he doesn't make good on it and clearly take responsbility for the late issue. I'd avoid paying him and then I'd report him.

BTW you can always challenge IRS audits... 62% of those challenged ends up going undisputed by the IRS and the taxpayer keeps the $$$.

[Cyber]

Thanks again for the nice posts. This is totally on him. 110 %. I gave him my information way back when and was just waiting for him to finish the job. For fuck sake, I paid him!!!!!!!!! I went through phone and mail records today and he didn't call me 1 time when he should have. I have a feeling a lawsuit would fall in my favor....

How can I not pay him and get him to cry to the gov he fucked up? Because the gov thinks its me at this point since he did jack shit.

[777ER]

Cyber, you mentioned he filed for a 6 month extenstion. There's a paper trail starting there...when you report him, most likey the IRS will find your papers in his office....if not then he will get fined big time for incorrect or inaccurate record keeping....along with failure to file tax or perform the papers for a client.

[Seminole]

Originally Posted by 777ER

Cyber, you mentioned he filed for a 6 month extenstion. There's a paper trail starting there...when you report him, most likey the IRS will find your papers in his office....if not then he will get fined big time for incorrect or inaccurate record keeping....along with failure to file tax or perform the papers for a client.

I would do two things,

1) Find a new CPA to use and consult with him what your options are.

2) Notify the IRS ASAP about your CPA and ask them for advice as well. If you just fail to tell them that your CPA never filed they can come back at any time and fine you. There are no statute of limitations for failing to file or falsifying a report. So even 30 years down the road it can bite you in the ass. The sooner you take car of it the better.

[FStop7]

You should be talking to the IRS and an attorney, not random people on a BMW forum.