u/Encoded_Python

So recently, I onboarded a new client. Originally I was only going to file delinquent California LLC filings. Anyway, he uploaded copies of his 1040s and fraudulent deductions were taken resulting in a significant understatement - a paid "preparer" filed this return. I brought it to the attention of the taxpayer, he was shocked and wants to voluntarily fix it.

I told him for now, do not confront him. I was helping him fill out the preparer misconduct affidavit and asked him where he heard about this preparer, he told me through a trusted co-worker who referred him.

Anyway, my concern is, the co-worker and potentially other people in the taxpayers personal circle are being preyed on by this person and it's only a matter of time until the IRS or FTB catches on. If they are also victims, they should know so they can take action. However, I have a what-if bothering me, what-if the co-worker is working or tips off the preparer.

What is the best way to handle the situation with the co-worker? Would it be unwise for him to inform his co-worker?

Based off my understanding of circular 230, my obligation is to my client. Still, there is nothing stopping him personally from bringing it up to his co-worker.

Prior to this our plan was spousal visa.

I am USC and my significant other is Honduran (not of the banned country list). No criminal records, nothing that complicates her case.

We have plenty of evidence of a bona fide relationship too.

We are hoping to get married in the future. We want to live in the United States.

I don’t mind living a year or even two for processing. Just not 3+ years. My work is flexible so I can be with her in Honduras.

After reading this forum, I wanted to hear what is the best way for her to come here. At this point with all the delays, is it just better for her to come on a K-1? Do any of you regret doing the spousal visa?

Edit: Ignoring cost. I also can prove domicile in the US

Client came to me for tax resolution services. He has a SMLLC and didn't realize that he was required to file FTB 568 for his business in the years (2020-2023) it was inactive. The first thing that was fishy was the call, his current "preparer" does will not file the delinquent 568s but supposedly was current with them. Ok... not to bad... So I did my onboarding, LOE, etc, and he voluntarily uploaded his two years - 24 and 23. The first thing I did was scroll straight to the bottom of the 2023 PDF to see if there was a 568 and there wasn't....

The tax return was strangely malnourished, in the sense that there was missing pages. Lo and behold on the 2023 Schedule 1 line 3 there was a 50k nol but no schedule C.

I checked the 2024 and there was an actual schedule C.... with zero income and the only deduction being the home office deduction.... and line 30 was $81k....................................

I only see the firm address, EIN, and the name of the firm in the third party preparer section. The preparers name is just the business.... And the address is some virtual office in SF.

Anyway, I am going breaking some bad news here pretty soon... I've only heard of this happening but have never experienced it. Feel free to share the outcomes if you know of any...

Edit: FTB 568 is the California mandatory LLC return for disregarded entity I.E a single member LLC with no tax elections. I am CA based and this is another way California enjoys harassing businesses.

The preparer is very much a ghost preparer. No name of the preparer, no PTIN, no record on the CTEC website and no not an enrolled practitioner.

The taxpayer I don’t feel actually knows what is happening, just that this guy is getting him 10k+ refunds….. it’s sad but true.

This month marks the end of QBD 2023 support and only one more year to go until 2024 is dead. I've never used QBD but recently I have helped some businesses to migrate QBD to QBO, and for a time was being the trainer/babysitter for the bookkeeper.

Though I did get to try QBD and there were some certain features that I really liked, such as the invoice customization and for that matter, QBD at glance offers better sales features. I know QBO has integrations for many things, but really certain things should be integrated into the software, complete invoice customization cough cough. I know QBO had invoice customization but Intuit canned it, I don't understand why.

Anyway, there are going to be a lot of people requiring transitions from QBD to QBO. I am sure it would be good money too. Still, most of them are older folks and have a lot of trouble using the QBO interface and the missing features. It feels like a dotcom for small business accounting.

Don't get me wrong I love QBO, but I really feel the lack of interface and critical features for subscriptions outside of enterprise are going to cause this transition to flop.

Well, thank you Intuit, thank you for the money I will make off of transitions and the money I will make because business owners and bookkeepers find QBO too difficult.

Hello, I am looking for some advise.

I am California based and recently the state changed the learning requirement to be 120 credits and two years of work experience, instead of 150 credits and one year of work experience.

I am currently an EA, run my own firm, and handle a lot of small business accounting. I am about 1.5 years away from finishing my bachelors in accounting. I now would like to pursue my CPA.

Unfortunately, all my prior accounting working experience has been under EAs or non-CPAs.

What would be the best way to get someone to sign off on my experience requirement? Does part-time and temp work count?

I also have a friend who is a CPA in Florida that may allow me to work part time virtually. California to my knowledge allows outside CPAs to sign off on work experience.

Normally, I require payment 1/2 upfront and 1/2 upon completion for all services. However, recently we have been having some long-time clients and new clients ask if we can set up payment plans for them as they needed the work done but couldn't afford our fee unless they put it on a credit card. I was just curious if someone has tried this or has charged interest.

I wrote this poem based on some of my encounters this season along with some stories of my colleagues and others. Each stanza is it's own story I don't really have a good title, so please feel free to make some suggestions.

Those clients I want to fire

O Taxpayer, the ides of April are near,

The deadline is breathing down your neck in fear.

Don't let it be doom, though your world is on fire,

Your 86-year-old 'CPA' has decided to retire.

He vanished to Florida without an email or trace,

Leaving you to find a new place.

You scour through Google, through Yelp, and through Thumbtack,

Praying for someone to take up the slack.

"Budgeting $130!" you boldly say, (Memories of 65 bucks still hang in the air).

You demand a two hour meeting, at your house.

"Something never seen! 1099-INT!!!!!!!!"

The 'CPA' speaks clearly, your heart starts to sink,

"Two hundred dollars?" You’re pushed to the brink!

"But my return is so simple! My old guy was fair! I want you at my house!"

"I’ll never use Turbo! I’m a need a pro! 1099-INT is a scare"

Hanging up the phone to take business elsewhere.

-

Walking to the storefront with the shiny green square. Shoebox of receipts prepared.

"Two hundred an hour to count up the 'pile'"

The lady in green says with no smile.

Running to Thumbtack, for solution

"How much to count receipts, asking for a friend"

Alas heartbreak and pain again; I count them lonely myself.

To this day, the shoebox is full of receipts.

-

April thirteen is here, new 'loopholes' found! An LLC is clear, you saw on IG.

"Wrote off my Costco! My trips to the white sandy shore!"

The Guru on TikTok said 'Pay Taxes No More!'

The Guru forms three LLCs for you.

But the Tax Man just sighs, with dead dark eyes

"Did you pay the $800 for each LLC?" he pries.

"There is no such fee!" you counter smugly,

Until he pulls out the FTB page.

Well fine, spend a little to save more.

"The LLC makes it deductible!" you shout,

"My Paris vacation! My lunch! My night out!"

The Tax Man stares blankly, his patience expired.

He tells you: "You’re fired."

-

Ten thousand crypto trades loaded with fright,

A thousand-page PDF haunting the night.

Turbotax bill, $10,000, a big number

Running to ChatGPT to what's wrong

Basis and capital gains, are your pain

"Some say that basis is a curse, something to flee"

Though time to find a good EA

"Use a Cointracker! It'll save thousands!" the EA pleas!

"No! The fees are too high!" you complain.

You pay the bill and walk away.

Never again to see an EA!

Basis is never worth the trouble.

-

You report a massive loss on your Schedule C,

Then demand to get the treasured CTC and EIC.

"No refund," he says, "if your income is zero."

"Omit! Omit! Omit!" is your cry,

The tax man calls it fraud, you say it's extra pay,

Now that tax man no longer of aid.

-

2/16 the deadline is close.

But you and ChatGPT are ready to file and fight.

Specific instructions for a Schedule C, A single book sale and a Schedule E.

Report the Roth payout! Don’t forget the 8606!"

You’re certain you know it all. A client no preparer worthy.

The preparer quotes $450, what a joke.

You shout your precise instructions for each line.

"Don't miss my $25 royalty!"

I bet she's never seen a return like this!

Four days of waiting, way too long.

Calling every day for just an hour long.

PDF ready for review, and fire in your lungs abrew.

"No 8606! A PTC Refund of $7!!!" This is all wrong!

Supersede! Supersede! Is your song!

You threaten the 'forbidden'

To report his EFIN to ProConnect, the ultimate threat!

The Second of March, you are demanding more.

Now an amendment to fix your return.

The preparer completes but the return is still wrong.

You shout at the wall, call a new preparer and say,

"I need your help with some fraud"

The Tax Man asks for your return, how weird.

AI says it's fine, but remember to file on time.

You call the Tax Man each day, to tell you what the AI proclaimed.

He tells you you'll have to Amend again, but in no way is he your friend.

"My AI says a superseding return cures it all!"

He gives up and tells you to call the IRS, the IRS affirms he is correct.

One mistake is just science, you nod with your head.

The Tax man is silent, spirit dead, filing your return.

Two months from the deadline, the filing is done,

A battle of madness you’re sure that you won.

"I’ll see you next year for my taxes again."

He says, "You're fired" A loss for him!

I hope you enjoyed my poem.

I wrote this poem based on some of my encounters this season along with some stories of my colleagues and others. Each stanza is it's own story I don't really have a good title, so please feel free to make some suggestions.

Those clients I love to fire

O Taxpayer, the ides of April are near,

The deadline is breathing down your neck in fear.

Don't let it be doom, though your world is on fire,

Your 86-year-old 'CPA' has decided to retire.

He vanished to Florida without an email or trace,

Leaving you to find a new place.

You scour through Google, through Yelp, and through Thumbtack,

Praying for someone to take up the slack.

"Budgeting $130!" you boldly say, (Memories of 65 bucks still hang in the air).

You demand a two hour meeting, at your house.

"Something never seen! 1099-INT!!!!!!!!"

The 'CPA' speaks clearly, your heart starts to sink,

"Two hundred dollars?" You’re pushed to the brink!

"But my return is so simple! My old guy was fair! I want you at my house!"

"I’ll never use Turbo! I’m a need a pro! 1099-INT is a scare"

Hanging up the phone to take business elsewhere.

-

Walking to the storefront with the shiny green square. Shoebox of receipts prepared.

"Two hundred an hour to count up the 'pile'"

The lady in green says with no smile.

Running to Thumbtack, for solution

"How much to count receipts, asking for a friend"

Alas heartbreak and pain again; I count them lonely myself.

To this day, the shoebox is full of receipts.

-

April thirteen is here, new 'loopholes' found! An LLC is clear, you saw on IG.

" wrote off my Costco! My trips to the white sandy shore!"

The Guru on TikTok said 'Pay Taxes No More!'

The Guru forms three LLCs for you.

But the Tax Man just sighs, with dead dark eyes

"Did you pay the $800 for each LLC?" he pries.

"There is no such fee!" you counter smugly,

Until he pulls out the FTB page.

Well fine, spend a little to save more.

"The LLC makes it deductible!" you shout,

"My Paris vacation! My lunch! My night out!"

The Tax Man stares blankly, his patience expired.

He tells you: "You’re fired."

Ten thousand crypto trades loaded with fright,

A thousand-page PDF haunting the night.

Turbotax bill, $10,000, a big number

Running to ChatGPT to what's wrong

Basis and capital gains, are your pain

"Some say that basis is a curse, something to flee"

Though time to find a good EA

"Use a Cointracker! It'll save thousands!" the EA pleas!

"No! The fees are too high!" you complain.

You pay the bill and walk away.

Never again to see an EA!

Basis is never worth the trouble.

-

You report a massive loss on your Schedule C,

Then demand that get the treasured CTC and EIC**.**

"No refund," he says, "if your income is zero."

"Omit! Omit! Omit!" is your cry,

The tax man calls it fraud, you say it's extra pay,

Now that tax man no longer of aid.

-

2/16 the deadline is close.

But you and ChatGPT are ready to file and fight.

Specific instructions for a Schedule C, A single book sale and a Schedule E.

Report the Roth payout! Don’t forget the 8606!"

You’re certain you know it all. A client no preparer is worthy of.

The preparer quotes $450, what a joke.

You shout your precise instructions for each line.

"Don't miss my $25 royalty!"

I bet she's never seen a return like this!

Four days of waiting way to long.

Calling every day for just an hour long.

PDF read for review, and fire in your lungs is abrew.

"No 8606! A PTC Refund of $7!!!" This is all wrong!

Supersede! Supersede! Is your song!

You threaten the 'forbidden'

To report his EFIN to ProConnect, the ultimate threat!

The Second of March, you are demanding more.

Now an amendment to fix your return.

The preparer completes but the return is still wrong.

You shout at the wall, call a new preparer and say,

"I need your help with some fraud"

The Tax Man asks for your return, how weird.

AI says it's fine, but remember to file on time.

You call the Tax Man each day, to tell you what the AI proclaimed.

He tells you you'll have to Amend again, but in no way is he your friend.

"My AI says a superseding return cures it all!"

He gives up and tells you to call the IRS, the IRS affirms he is correct.

One mistake is just science, you nod with your head.

The Tax man is silent, spirit dead, filing your return.

Two months from the deadline, the filing is done,

A battle of madness you’re sure that you won.

"I’ll see you next year for my taxes again."

He says, "You're fired" A loss for him!

I hope you enjoyed my poem.

THIS IS NOT A PROMOTION

I started my bookkeeping/tax practice September 2024. Since then its grown to five clients, averaging a new client every six months. I feel my pricing is fair for the services I render, which vary to simple bookkeeping to strategy. I also prepare the tax returns for 4/5 clients for a separate fee. My clients love the fact that their tax person also does their books and it gives me plenty beneficial insight for tax planning. Plus it's nice in terms of relationship with my clients. These clients were friends or referrals from current clients.

I am also partnered with a tax firm that I eventually plan to take over when the owner retires. This firm has a lot of business clients above $200k gross that could be target clients. So there is that.

Anyway, I am feeling stuck as I am slowly growing. I am not expecting rapid growth and but would like to get more. Most of the leads I've received lately were too small or didn't see the value of my service or wanted me to drive 40 minutes weekly just to work one day a week in his office.

What upsets me is quite a few of my partners tax clients have a awful books. One return I prepared had a a revenue of $250k and a $100k NOL and a balance sheet that gives me nightmares - legend says nobody has been brave enough to journey into that opening balance equity account. Jokes aside, this company is being charged $8400 yearly for that service.

The other problem is, some businesses want me to give them QB support aka babysitting them reconciling the account via video conference. I don't mind doing as I charge $50 to $75 hourly for this. Still I could charge less to do it for them and do it faster and correctly.

I understand my value and can explain that, but for me I struggle to explain the value of bookkeeping without being technical. I am also struggling to get my name to the right people. I network with a lot of small business owners, anytime I bring up tax they are interested, but then it's silence with bookkeeping.

I really enjoy helping my clients understand their finances and want to see them grow, I love the bookkeeping part so much and would like to make that my focus.

Please feel free to share your thoughts, experiences, and anything that helped you.

I started my bookkeeping/tax practice September 2024. Since then its grown to five clients, averaging a new client every six months. I feel my pricing is fair for the services I render, which vary to simple bookkeeping to strategy. I also prepare the tax returns for 4/5 clients for a separate fee. My clients love the fact that their tax person also does their books and it gives me plenty beneficial insight for tax planning. Plus it's nice in terms of relationship with my clients. These clients were friends or referrals from current clients.

I am also partnered with a tax firm that I eventually plan to take over when the owner retires. This firm has a lot of business clients above $200k gross that could be target clients. So there is that.

Anyway, I am feeling stuck as I am slowly growing. I am not expecting rapid growth and but would like to get more. Most of the leads I've received lately were too small or didn't see the value of my service or wanted me to drive 40 minutes weekly just to work one day a week in his office.

What upsets me is quite a few of my partners tax clients have very messy books. One return I prepared had a a revenue of $250k and a $100k NOL and a balance sheet that gives me nightmares - legend says nobody has been brave enough to journey into that opening balance equity account. Jokes aside, this company is being charged $8400 yearly for that service.

The other problem is, some businesses want me to give them QB support aka babysitting them reconciling the account via video conference. I don't mind doing as I charge $50 to $75 hourly for this. Still I could charge less to do it for them and do it faster and correctly.

I understand my value and can explain that, but for me I struggle to explain the value of bookkeeping without being technical. I am also struggling to get my name to the right people. I network with a lot of small business owners, anytime I bring up tax they are interested, but then it's silence with bookkeeping.

I really enjoy helping my clients understand their finances and want to see them grow, I love the bookkeeping part so much and would like to make that my focus.

Please feel free to share your thoughts, experiences, and anything that helped you.

I started my bookkeeping/tax practice September 2024. Since then its grown to five clients, averaging a new client every six months. I feel my pricing is fair for the services I render, which vary to simple bookkeeping to strategy. I also prepare the tax returns for 4/5 clients for a separate fee. My clients love the fact that their tax person also does their books and it gives me plenty beneficial insight for tax planning. Plus it's nice in terms of relationship with my clients. These clients were friends or referrals from current clients.

I am also partnered with a tax firm that I eventually plan to take over when the owner retires. This firm has a lot of business clients above $200k gross that could be target clients. So there is that.

Anyway, I am feeling stuck as I am slowly growing. I am not expecting rapid growth and but would like to get more. Most of the leads I've received lately were too small or didn't see the value of my service or wanted me to drive 40 minutes weekly just to work one day a week in his office.

What upsets me is quite a few of my partners tax clients have a awful books. One return I prepared had a a revenue of $250k and a $100k NOL and a balance sheet that gives me nightmares - legend says nobody has been brave enough to journey into that opening balance equity account. Jokes aside, this company is being charged $8400 yearly for that service.

The other problem is, some businesses want me to give them QB support aka babysitting them reconciling the account via video conference. I don't mind doing as I charge $50 to $75 hourly for this. Still I could charge less to do it for them and do it faster and correctly.

I understand my value and can explain that, but for me I struggle to explain the value of bookkeeping without being technical. I am also struggling to get my name to the right people. I network with a lot of small business owners, anytime I bring up tax they are interested, but then it's silence with bookkeeping.

I really enjoy helping my clients understand their finances and want to see them grow, I love the bookkeeping part so much and would like to make that my focus.

Please feel free to share your thoughts, experiences, and anything that helped you.

Hello I hope you're doing well.

I have a older client who just transitioned to QBO desktop app. I know QBD you could adjust font sizes as it scaled using windows DPI. But in QBO it seems you can only increase the font sizes with custom templates. I know you can export some reports into excel and blow it up but that isn't easy for this client.

They print everything out including the reconciliation reports but would like to make them bigger. Is there any solution to this?