Small Firm Question:
Working PA for the first time this year. Doing a lot of returns right now.

History of my firm: small (7 employees, two interns), was a single CPA show for 20 years. Cont.

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EY1, you be surprised what kind of shit goes on those mom and pop tax offices. Every new client means couple hundred of revenue with a very minimal additional expense. Had I not worked their as intern, I would have thought everything/everyone is like we do at big 4.

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Waiting ..............

smartfunny

Are you waiting on intern to update the rest of post?

funny

Apologies. A client called...and asked me to use “last year’s numbers”... 😐

That guy sold to my boss a year ago this week. That guy tended to toe the line of credible accounting versus tax fraud for his clients - made up deductions, plugged every other number, deducted things that aren’t deductible, etc. He did these things every year, for 20 years, and so now our clients expect it.

My question is this: is the above normal? I feel icky doing any of those things. I like doing tax. I don’t like feeling dirty when I go home.

I guess what I’m really asking is: if I jump ship to another firm, is it still just creative accounting?

Sorry Op I saw your post and could not stop myself lol. Since I am currently at big and things like this would not fly here but I have Interned at two local firms before coming here and those were totally different. One was good CPA firm with 30ish folks and would do most according to law. Now the other was owned by CPA/lawyer and a manager was running this location, I saw him increasing deduction to bring a favorable results for his clients. Since he was a manager(not Cpa or EA) and shared profits, he would do many shitty things just to make clients happy and bring their friends and family to him for better results. Since I was intern and being paid hourly, I refused to sign those returns and the manager will come and put his PIN on those returns. Since you guys have bought the firm, you are stuck with it. As an employee I would not affiliate myself with anything shady, especially when you being paid hourly. If you boss, new owner, asks you to do something shady you can always say no or refuse to put your PIN/name of those returns and start looking. It all depends on you and what you think is right but recommend not getting into shady practice.

Oh yeah no. I don’t sign them. I’m pursuing my CPA right now and I have told him many times that I won’t sign them. I’ll prepare as instructed but I’m not going to sign anything. However, I’m actively looking for other work.

Fun fact: three lawyers have attempted to serve subpoenas on the old owner in the past 3 weeks.

helpful

When I say stuck, I mean stuck with those clients and their expectations and now it will be on you guys to guide them and make sure it is done right going forward.

I knew what you meant.

We practice tax avoidance not evasion. You can’t just make things up that aren’t supported by the law. We don’t take a position unless we’re at a “more likely than not” level of surety. You can get creative with tax positions but they have to be supported by the law. I would not take any positions that you know are wrong otherwise it’s your license on the line. If the positions are that bad the clients would have a hard time finding a reputable CPA to file that way.

Thanks for the heads up.

Funny story: this morning my boss said, “I didn’t get [client]’s return done on time because they way he reported the crypto wasn’t right and I didn’t feel right sending it.”

I snorted and said, “Since when do we do things the ‘right’ way?”

This firm. 🤷🏻‍♂️

Boss updated the router and now I can’t get on indeed through the WiFi.

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