02-16-2011, 11:22 AM
I met with my friend, yesterday. You know . . . the one that got me all huffy and starting this thread.
I caved to my "adult" instincts (two weeks ago) and instead of the breakfast meeting option I, instead, sent an email identifying 6 areas for him to review.
Additionally, I suggested that he consider filing an extension, as he had no tax liability.
I also included the names of three CPAs he might consider using for a review.
Anyway . . .
Comes now my friend with hat in hand. Seems he thought my fee was a tad pricey, so he contacted two of the three CPAs I recommended.
Bottom line - full review (not an audit) and tax prep: $2,100 and $2,600.
His reaction to my new fee was, I would say, "restrained outrage". However, it was less than the solicited fees.
The actual (combined) amount he missed and was willing to overpay was approximately $2,300. (Okay . . . I originally estimated $2,500 . . . but before the 1900's, $2,500 was an acceptable depiction of $2,300 . . . it's a Dutchess - Duchess accounting thing - so I am not wrong)
He assumed, from our first conversation, that the error was an underpayment.
I'm not quite sure if his red-face was due to embarrassment or anger.
His returns are done and he gets to explain this whole escapade to his wife.
To me, that is priceless!
And . . . to all of you . . . thanks for the advice.
I caved to my "adult" instincts (two weeks ago) and instead of the breakfast meeting option I, instead, sent an email identifying 6 areas for him to review.
Additionally, I suggested that he consider filing an extension, as he had no tax liability.
I also included the names of three CPAs he might consider using for a review.
Anyway . . .
Comes now my friend with hat in hand. Seems he thought my fee was a tad pricey, so he contacted two of the three CPAs I recommended.
Bottom line - full review (not an audit) and tax prep: $2,100 and $2,600.
His reaction to my new fee was, I would say, "restrained outrage". However, it was less than the solicited fees.
The actual (combined) amount he missed and was willing to overpay was approximately $2,300. (Okay . . . I originally estimated $2,500 . . . but before the 1900's, $2,500 was an acceptable depiction of $2,300 . . . it's a Dutchess - Duchess accounting thing - so I am not wrong)
He assumed, from our first conversation, that the error was an underpayment.
I'm not quite sure if his red-face was due to embarrassment or anger.
His returns are done and he gets to explain this whole escapade to his wife.
To me, that is priceless!
And . . . to all of you . . . thanks for the advice.