My cousin called me and he's got an interesting problem. He always does some year end tax planning. He works, but also farms a small farm. His tax advisor told him to sell some grain before year end. It ends up the accountant didn't account for an additional $50,000 worth of grain income from the previous year that occurred in 2013. So he's got $50,000 of unexpected income that he's going to pay taxes on. It's going to be a big tax bill and he doesn't have much extra cash because of his fairly large family and it's a one income household.
He's very upset about this and isn't sure what to do. He's going to meet with the Tax Planner later in the week and see what they have to say. I told him he might get the tax preparation fee waived, but was uncertain if he could get much more than that. I also pointed out while the tax bill is unexpected, it should help his tax bill in 2014, but that seemed to fall on deaf ears.
I suppose you could hire a lawyer and go after them for negligence, but am unsure how far he'd get? Seems to me has some responsibility to review and verify things as well even if your hiring someone to help?
Anybody been in a similar situation? Any ideas?
He's very upset about this and isn't sure what to do. He's going to meet with the Tax Planner later in the week and see what they have to say. I told him he might get the tax preparation fee waived, but was uncertain if he could get much more than that. I also pointed out while the tax bill is unexpected, it should help his tax bill in 2014, but that seemed to fall on deaf ears.
I suppose you could hire a lawyer and go after them for negligence, but am unsure how far he'd get? Seems to me has some responsibility to review and verify things as well even if your hiring someone to help?
Anybody been in a similar situation? Any ideas?
