Yeah and some went over the speed limit on the way to tell me they messed up and didn't assess a fine on themselves.jake2011 said:
You guys really have clients who choose not to amend a return that is wrong? What a dumb***.
They do a cost benefit analysis. How much will it cost to pay to have it amended vs the penalty & interest they'll pay if audited. If they are audited, they will owe additional tax (which would have been owed in any case) and some penalty & interest. In some cases, they are willing to risk it. I wouldn't call them dumbasses.jake2011 said:
You guys really have clients who choose not to amend a return that is wrong? What a dumb***.
As a fellow tax professional, I am not surprised. Oftentimes, it depends on the tax effect.combat wombat said:
By the way, I agree that amending the return is the correct way to handle this. However, I can't force a client to amend. I can tell them there's a mistake, and that it won't hold up under IRS scrutiny and that amending is the way to fix it. You might be surprised at how many people decide to let it ride.