Tax Question

[Cactus Cactus]

I have talked with an accountant who might do my taxes. I know that you can't just see how much you made for the year (the net amount) and pay taxes on that. You have to do something with adding all of your winnings together pay taxes on that...well I am not exactly sure on how this works but I know that you can't just net your wins vs. losses, unless you declare yourself as profesional, of which you have to pay a SS tax. However the accountant insists that I can just net my wins vs. losses and pay taxes on that. So he comes up with a number that is less than what I should be paying, and he insists that this is correct. What I want to know is if the IRS audits me, am I responsible for this error?

[randomstumbl]

If the accountant is wrong on this; you're a lot better off with a more qualified accountant. You'll pay any penalties.

There are situations where you seem to end up netting the wins and losses without filing as a pro. If you're itemizing deductions already, it's going to seem like you're just netting; however, it's the proper way to do it.

I don't know if that's your situation or not. If he's never seperating the wins and losses, then he is most likely doing it wrong.

Why pay someone to do their job poorly? Any financial repercussions will be paid for by you.

[Niediam]

You are definately responsible. Even though on the good side it is probably slightly less likely that you will be audited since you had an accountant do your taxes. /images/graemlins/smile.gif