My accountant was recommended to me by my trustworthy mentor at work. He was a CPA with a big office in NYC. Most of my collegues went to him. However, after going to him, I decided that I no longer liked him. Another accountant was recommended to me by the same metor at work. I went to him, as did many of my collegues. Things seemed fine until I was audited for the year I went to the first accountant. I called my second accountant and he said he would take care of it for me. Since then, I was also audited for the following two years - the years I was with my second accountant. Again, he said he would take care of everything for me. He asked me to provide him with many receipts and documents that were very difficult to get since I no longer had them. I spent 3 weeks of vacation time trying to track this stuff down. It was incredibly hard, but I did it. He asked me to send it to him, which I did. He claimed he was working on it and it would be settled, but I recently found out he did nothing with my audits and let the dates pass. I finally found a good, honest accountant who told me that both of my previous accountants were fraudulent. The first one is now in federal prison. He told me that the second one probably didn't want to touch my audits because he was afraid that he would go to prison. In the meantime, I now owe $24,000 in taxes (about $8000 are in penalties and interest). I do not have this kind of money and there is now a lein on my condo. To make matters worse, I have to refinance in December and this lein is now affecting my credit score, which could prevent me from getting an affordable mortgage. Here are my questions:
1. I agree that I should pay whatever taxes I owe, but can I sue my accountant for the penalties and interest? They both had me sign the tax returns in the office and sent them out via fed ex for me.
2. My first accountant is in prison, but the second one is not. I feel victimized by them both - what course of action can I take?
3. Is there any way to get the lein off my report so it doesn't effect my credit?
4. What is my best course of action?
thanks
1. I agree that I should pay whatever taxes I owe, but can I sue my accountant for the penalties and interest? They both had me sign the tax returns in the office and sent them out via fed ex for me.
2. My first accountant is in prison, but the second one is not. I feel victimized by them both - what course of action can I take?
3. Is there any way to get the lein off my report so it doesn't effect my credit?
4. What is my best course of action?
thanks
