Eli Posted June 27, 2007 Report Share Posted June 27, 2007 This gentleman had his 2006 taxes prepared elsewhere. He received letter from IRS disallowing EIC. Kids are not his and are not related to him. The EIC had previously been frozen so he didn't get any of the money from that. He did file as HOH originally and there was about $4300 in W2 income. There was also $6000 in S/E income. He states that he told the preparer that he made about 1200-1500 in S/E income mowing lawns. He states the preparer put in the 6000 figure instead which according to him, he was not aware of until I pointed it out to him. My question is: If we amend the return showing the 1200-1500 instead of the 6000 figure what would be needed to prove this amount is the correct amount? Thanks! Eli Quote Link to comment Share on other sites More sharing options...
jainen Posted June 27, 2007 Report Share Posted June 27, 2007 >>what would be needed to prove this amount<< Even a casual business needs to have at least minimal records of the activity. He might consider reconstructing invoices or receipts for his clients, mileage records, repair and supply receipts, bank deposit records, and all the normal things. Do you have any particular interest in helping this taxpayer who has already failed an IRS audit on the return and has a history of blaming his preparer for his own fraudulent claims? It isn't hard to recognize that the income he now claims will maximize EIC without children. Quote Link to comment Share on other sites More sharing options...
kcjenkins Posted June 27, 2007 Report Share Posted June 27, 2007 Eli, I would not touch this one with a ten-foot pole, personally. This is someone who has admitted to you that he tried to claim children that he was not entitled to claim, and no doubt that SE income was intended to up his EIC. Now, he wants to reduce it, since that scam did not work. Unless he has good records to support the change, I think you would be smart to pass on this guy as a client. He's clearly willing to play fast and loose with the truth, if it gets him a better tax return. You know the IRS is on to him, so it's going to be a hard thing to do, to change the return to reduce the income, at this point. If you do take it on, get a hefty retainer up front, so that at least you don't waste a lot of time that you never get paid for. I'm betting that is why he did not go back to the other preparer. Quote Link to comment Share on other sites More sharing options...
OldJack Posted June 27, 2007 Report Share Posted June 27, 2007 Send him back to the original tax preparer. Tell him your fee would be much larger (make it so) than the original tax preparer. Quote Link to comment Share on other sites More sharing options...
Eli Posted June 27, 2007 Author Report Share Posted June 27, 2007 Thanks to all 3 of you for your responses. I will assist him......to set up a payment plan :-). Eli Quote Link to comment Share on other sites More sharing options...
Pacun Posted June 27, 2007 Report Share Posted June 27, 2007 I would not work with this client but if you feel the need to work with him, ask him to get his bank statements from December 2005 until January 2007. When he brings that in, you can make a decision to amend or run away from this "nice, poor victim". Quote Link to comment Share on other sites More sharing options...
Eli Posted June 27, 2007 Author Report Share Posted June 27, 2007 I would not work with this client but if you feel the need to work with him, ask him to get his bank statements from December 2005 until January 2007. When he brings that in, you can make a decision to amend or run away from this "nice, poor victim". He doesn't have a bank account, at least that's what he said. Eli Quote Link to comment Share on other sites More sharing options...
mcb39 Posted June 27, 2007 Report Share Posted June 27, 2007 Eli, is this a relative or someone that you feel obligated to help? If not, I would not get involved as he is obviously working the numbers to his own best advantage. When you say, "at least that's what he said," it indicates that you don't really believe him either. Good Luck, my friend.... Quote Link to comment Share on other sites More sharing options...
jainen Posted June 27, 2007 Report Share Posted June 27, 2007 >>He doesn't have a bank account<< In that case, I recommend you take your fee in cash instead of a check! Seriously, don't bother with him at all. There is no point in a payment plan since he won't follow through on it anyway. I mean, is this guy really going to buy a money order every month for the next three years? He'll probably have a little withholding this summer and they will keep his refund and that's that. note to Oldjack. They are talking about us elsewhere. Clear your cookies and take a peek. Quote Link to comment Share on other sites More sharing options...
OldJack Posted June 27, 2007 Report Share Posted June 27, 2007 Jainen... will do..thanks. I deleted my cookies for that site the day I was banned. edit: Best I can tell.. there were 3 people banned. Also, it looks like most current posts only have 2 or 3 replies. Not much of a tax discussion going on now days on that site. I just renewed my QF handbooks and I will not be renewing their rag. Quote Link to comment Share on other sites More sharing options...
joanmcq Posted June 27, 2007 Report Share Posted June 27, 2007 Jainen... will do..thanks. I deleted my cookies for that site the day I was banned. edit: Best I can tell.. there were 3 people banned. Also, it looks like most current posts only have 2 or 3 replies. Not much of a tax discussion going on now days on that site. I just renewed my QF handbooks and I will not be renewing their rag. I'm trying to find out what happened to you guys......when did this happpen? I think george was due to the travel agents post.... Quote Link to comment Share on other sites More sharing options...
jainen Posted June 27, 2007 Report Share Posted June 27, 2007 >>what happened to you guys<< Who knows? Some were restricted, others apparently just moved on. I support any moderator's right to do whatever they want. I appreciate that THIS forum is the place to be now, after the original ATX shut down. Quote Link to comment Share on other sites More sharing options...
OldJack Posted June 27, 2007 Report Share Posted June 27, 2007 I'm trying to find out what happened to you guys......when did this happpen? I think george was due to the travel agents post.... My post was deleted because, on a political post, I said illegal aliens should be hunted down and turned-in (or words to that effect). Then I got a warning email from Paul Roberts saying that was not appropriate. I emailed back and said although I was a guest he should not have deleted my post and that I would appreciate an apology. He then banned me from the website. Its alright as I have banned their WebCD and tax book which cost them money and freed my time to spend on this and other websites. :P Quote Link to comment Share on other sites More sharing options...
barosser Posted June 28, 2007 Report Share Posted June 28, 2007 Not sure what you were banned from.. but glad ya'll are here I live in Texas and we are being overtun by illegals and somthing needs to be done. Nothing will change unitl the Constitution is changed concerning the anchor baby. my own opinion. Quote Link to comment Share on other sites More sharing options...
kcjenkins Posted June 29, 2007 Report Share Posted June 29, 2007 Not sure what you were banned from.. but glad ya'll are here I live in Texas and we are being overrun by illegals and something needs to be done. Nothing will change until the Constitution is changed concerning the anchor baby. my own opinion. Which is not likely to ever happen, although a few countries have changed their laws that way in recent years. But with us it's in our Constitution, so it's much harder to change. I think we have to rely on getting control of our borders, instead. That we could do in a very short time-line, if we really decided seriously to do so. And then we would have the choice of whether to let them in or not, in the first place. But it's going to take the PEOPLE insisting loudly and punishing those who vote against it, because those in DC have lots of other things they would rather spend our money on. The fact that the Senate even killed a simple amendment that would have said that FELONS could not get automatic visas says it all, to me. Quote Link to comment Share on other sites More sharing options...
Eli Posted June 29, 2007 Author Report Share Posted June 29, 2007 Which is not likely to ever happen, although a few countries have changed their laws that way in recent years. But with us it's in our Constitution, so it's much harder to change. I think we have to rely on getting control of our borders, instead. That we could do in a very short time-line, if we really decided seriously to do so. And then we would have the choice of whether to let them in or not, in the first place. But it's going to take the PEOPLE insisting loudly and punishing those who vote against it, because those in DC have lots of other things they would rather spend our money on. The fact that the Senate even killed a simple amendment that would have said that FELONS could not get automatic visas says it all, to me. I agree that the borders need to be secured, but a fence is not going to do the trick. Eventually they will come over, under, around or through it. Until Mexico fixes their problems and/or the US quits giving out welfare & free medical assistance to illegal aliens they will just keep finding ways to come across. In this area we have a very dangerous river that claims many lives on a yearly basis. Even then they keep coming. Why should we think a fence is going to be any different?? Eli Quote Link to comment Share on other sites More sharing options...
jainen Posted June 29, 2007 Report Share Posted June 29, 2007 >>giving out welfare & free medical assistance to illegal aliens<< I thought people immigrate to take advantage of our low capital gains tax rates. Quote Link to comment Share on other sites More sharing options...
Pacun Posted June 29, 2007 Report Share Posted June 29, 2007 I think you should not amend. Quote Link to comment Share on other sites More sharing options...
veritas Posted July 3, 2007 Report Share Posted July 3, 2007 My post was deleted because, on a political post, I said illegal aliens should be hunted down and turned-in (or words to that effect). Then I got a warning email from Paul Roberts saying that was not appropriate. I emailed back and said although I was a guest he should not have deleted my post and that I would appreciate an apology. He then banned me from the website. Its alright as I have banned their WebCD and tax book which cost them money and freed my time to spend on this and other websites. I go on a little vacation and what do you do? The other board has kinda dried up. Nothing very interesting going on. No Old Jack or Jainen. And Blackbart has dissapeared? again Quote Link to comment Share on other sites More sharing options...
OldJack Posted July 3, 2007 Report Share Posted July 3, 2007 Its nice to see you here veritas! Yes, Jainen and I should have also gone on vacation. It would appear that the powers that be were waiting for some reason to do as they did. Its no big deal as there are a lot of tax message boards around and that one was getting too full. I hope you will also use this forum as we need your experience and expert opinions to keep us all in line on those difficult tax issues. So how was the vacation? Quote Link to comment Share on other sites More sharing options...
Eli Posted July 3, 2007 Author Report Share Posted July 3, 2007 I hope you will also use this forum as we need your experience and expert opinions to keep us all in line on those difficult tax issues. The more knowledgeable people the better. This is a great way for those of us less experienced, can learn by reading the posts & answers here. Eli Quote Link to comment Share on other sites More sharing options...
veritas Posted July 3, 2007 Report Share Posted July 3, 2007 Its nice to see you here veritas! Yes, Jainen and I should have also gone on vacation. It would appear that the powers that be were waiting for some reason to do as they did. Its no big deal as there are a lot of tax message boards around and that one was getting too full. I hope you will also use this forum as we need your experience and expert opinions to keep us all in line on those difficult tax issues. So how was the vacation? The vacation was to short. We went to Hawaii for the first time and it was great! Look forward to getting some good discussion going. Quote Link to comment Share on other sites More sharing options...
OldJack Posted July 3, 2007 Report Share Posted July 3, 2007 >>The vacation was to short. We went to Hawaii for the first time and it was great! Look forward to getting some good discussion going. << The "banded culprits" are duking it out presently on quickfinder.com They may also be banned from there soon. LOL Quote Link to comment Share on other sites More sharing options...
jainen Posted July 3, 2007 Report Share Posted July 3, 2007 >>Look forward to getting some good discussion going.<< How about picking up Pacun's post from yesterday morning? JohnH made a very intriguing observation that even with the disaster of losing one's home in foreclosure, "you may find that financially he has lost less than it first appears." Quote Link to comment Share on other sites More sharing options...
OldJack Posted July 3, 2007 Report Share Posted July 3, 2007 >>How about picking up Pacun's post from yesterday morning?<< I don't see a current original post from Pacun listed. Maybe you could help me find it? edit: Disregard I see the post now. I just don't know anything about foreclosures. Quote Link to comment Share on other sites More sharing options...
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