dodexahedron t1_je8gxg4 wrote on March 30, 2023 at 4:18 AM

Reply to comment by TheBeesSteeze in My husband and I owe 22k in taxes but we only made a combine total of 75k by one-eye-owl

The suggestion is because they're quite possibly getting bad advice and, at minimum, need a second opinion. The situation sounds shady for at least the reason of this person preparing but not filing for them, which suggests either they're unqualified to do so or potentially trying to scam them, even if just for billable hours.

And it's free. So literally no skin off their noses. If the result jives with what the accountant said, they have confirmation. If the result doesn't match up at least in the same ballpark, they can either accept it or get a new accountant or tax law attorney.

TheBeesSteeze t1_je8hebr wrote on March 30, 2023 at 4:22 AM

> The suggestion is because they're quite possibly getting bad advice and, at minimum, need a second opinion. The situation sounds shady for at least the reason of this person preparing but not filing for them, which suggests either they're unqualified to do so or potentially trying to scam them, even if just for billable hours.

Totally agree

> If the result jives with what the accountant said, they have confirmation.

Disagree. In this scenario, just because a bad accountant and basic free tax software both say you owe a bunch of money do not validate one another. In fact that's probably all this "accountant" is doing for them and I would be surprised if the numbers weren't pretty similar.

A good tax accountant should easily make back their fee and thousands more. Considering there is $25,000 at stake, I think they can afford a little more than $8 to verify there is no way to pay a smaller amount.

dodexahedron t1_je8icak wrote on March 30, 2023 at 4:32 AM

I make a couple times their combined income and have several non-work income sources, and various things which require me to itemize deductions. My taxes are "complex" compared to most people's. I have NEVER needed to pay someone to do my taxes. And I've had a similar insurance situation to what OP describes.

Taxes aren't rocket science, any anyone required to report anything is also required to send you a w2 or 1099, so you legally WILL receive everything you need to do it. Even if you do it on paper, by hand, it's comically easy, with step-by-step, very explicit instructions for every single item. You don't even have to do any math beyond simple addition and subtraction. Everything else is pre-calculated to way beyond their income in tables the IRS publishes for free, and the instructions tell you exactly what forms/tables to look at.

Don't be scared of tax preparation.

And you seem to be assuming this service is somehow sub-par. It's not. It's been around at least 20 years and is vetted by the IRS. And it doesn't play tricks with you like H&R Block does, to try to get you to pay for things. Simple, no-nonsense, and thorough tax preparation.

Why would you not just do it to at least compare? Come on...

TheBeesSteeze t1_je8kgwv wrote on March 30, 2023 at 4:54 AM

Yes, I also do my own taxes. I'm well aware of it's advantages.

Maybe you're right. They should just use the online software and if it says $25,000 as well, they should just pay this incredibly life changing amount without a second thought.

Silly me thinking they might want to consult at least ONE independent tax accountant who might be able to help out this person who obviously isn't very financially literate and could be making a huge mistake in some assumption or input.

dodexahedron t1_je8kqwi wrote on March 30, 2023 at 4:57 AM

You're putting words in my mouth, and making some assumptions that aren't valid. I didn't say any of that. Agreed that an attorney or a well-reputed tax accountant is a good idea, if it looks like they will be on the hook for this massive sum. But, a no-cost option for initial comparison is a wise minimum before proceeding, and there definitely are red flags about the current preparer, at least from what OP has shared.

Have a nice night.

TheBeesSteeze t1_je8kx74 wrote on March 30, 2023 at 4:59 AM

> And it's free. So literally no skin off their noses. If the result jives with what the accountant said, they have confirmation. If the result doesn't match up at least in the same ballpark, they can either accept it or get a new accountant or tax law attorney.

You literally said the opposite earlier. My point was that they should get a second professional consult if they are about to pay the $25,000.

Anyways, glad we agree now. Cheers.