Just got off the phone with my new CPA... - Page 2

Cactus Cactus · #11 08-26-2005, 03:00 PM

I wish someone could give me the name of a CPA who is an expert in gambling winnings. I know this one guy at casino arizona who had an accountant who was awesome and pushed for the maximum savings. He retired and got a new accountant and said that the new one doesn't push as much. So there is a difference in accountant. I'm looking to save a LOT OF MONEY (aren't we all)...WHO KNOWS AN AWESOME ACCOUNTANT???

Uglyowl · #12 08-26-2005, 03:10 PM

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This is not correct. Yes, CPA's also do audits, both for corporations and local governments, but taxes are a major part of their business and one of the four parts of the CPA exam is devoted to taxes. As in any profession, I'm sure some are better at taxes than others. In most states, anybody can hang out a shingle and call themselves a tax preparer. A CPA at least has had education and passed an exam in the field.

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I think I didn't make clear what I was trying to say. You don't need to be a CPA to do taxes, "CPA" is necessary for audits.

There are actually other certifications that show a person has knowledge in the tax field clearer than the term "CPA". No knock on CPA's as most do, but it is not the best measure IMO.

JS0085 · #13 08-26-2005, 03:17 PM

Similarly, if anyone knows of a good CPA, who is experienced in such gambling/poker related matters, in NYC or in the surrounding area, please PM me, as it would be greatly appreciated.

Later.

MrMoo · #14 08-26-2005, 04:26 PM

Please let me know how this turns out. I'm in MA too and if he's good I'd like to consider using him myself.

4_2_it · #15 08-26-2005, 04:36 PM

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* His quote is ~ $250

Is there anything else I should be telling the CPA or making sure he's aware of? (I ask this since some people say there are some idiot CPAs out there; one thing is for certain this guy asked for records for each session so it seems he is correct to be on the thorough side....)

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First, the price you are getting sounds about right (His fee is tax deductible [img]/images/graemlins/smile.gif[/img]). Second, what is your impression of this guy? Does he appear to have integrity? Ask him how he would file his own return. Ask him if he has ever represented someone with substantial gambling income in front of the IRS.

As previous posters have said, this area of taxation has not changed in several decades so any competent tax adviser should be able to assist you. Pick one you are comfortable with.

Actually, Uglyowl, I think the certification you are referring to is an Enrolled Agent who is licensed by the federal government to represent taxpayers before the IRS. CPAs and attorneys also represent taxpayers before the IRS, but do not need to be specially designated by the IRS for that purpose.

bobbyi · #16 08-26-2005, 04:48 PM

If your CPA prepares your taxes for you, and you end up incurring penalties as a result of mistakes he makes, are you liable for the penalties, or is the burden on him for screwing up?

4_2_it · #17 08-26-2005, 04:59 PM

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If your CPA prepares your taxes for you, and you end up incurring penalties as a result of mistakes he makes, are you liable for the penalties, or is the burden on him for screwing up?

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The IRS will hold you liable (with interest) for your taxes.

How much (if anything) you get from your preparer is based upon the agreement (should in writing) you have with your preparer. Of course you could always sue your tax preparer if they are grossly incompetent, but usually is more trouble than it's worth.

I believe the IRS softens its stance on penalties when you erroneously follow the advice of a paid tax preparer.

Guthrie · #18 08-26-2005, 06:02 PM

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He also said as a maximum 50% of my winnings could be taxed but most likely 25% will go to federal and 5% to state (I'm in massachusetts).

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So the other 50% is tax free? You might want to keep looking.

MicroBob · #19 08-26-2005, 06:18 PM

yeah.

i'm not quite getting that whole 50% bit myself.

broiler · #20 08-26-2005, 06:25 PM

My guess is that the CPA meant that a maximum of 50% of the income would be needed to pay taxes. I wouldn't word it the way that the OP did, but I'm hoping that is what the CPA was saying. The CPA was probably shooting high to make sure that there would be enough cash around in April to pay the taxes due.