Ask a lawyer on the topic of Tax law

Problems with the tax consultant

October 30, 2009 | 30,00 EUR | answered by Dr. Dr. Danjel-Philippe Newerla

Hello, I have the following problem:
My former tax advisor sent me a new invoice 7 months after the original billing (tax return for 2007). She started working for me in the fall of 2005; it was verbally agreed that she would do my tax return (I am a self-employed financial service provider), but not the bookkeeping. The invoices for the tax years 2005, 2006, and 2007 only listed familiar invoice items. However, I filed an objection against the 2007 tax assessment in early 2009, as I believed that I could deduct the home office expenses, as I had worked almost exclusively in the home office in 2007 and 2008 (during parental leave). She advised me against it, but still filed the objection. As a result, the tax office retroactively revoked all tax assessments from 2002 onwards, resulting in various repayments. In that context, I reviewed the 2007 tax assessment more closely and found that the tax advisor had not included the tax advisor invoices for 2005 and 2006, which were both due in 2007. I then complained to her on the phone, to which she responded quite snippily and announced that she would now bill me for everything she had done. And she did.
I accepted some items, as I had requested them. I rejected some: such as the annual bookkeeping, which was not agreed upon, a CD accounting software that I never received or requested, and a retroactive fee for preparing the 2007 income tax return. The fees for the services provided, which I accepted, almost exactly matched the amount I had overpaid to the tax office due to the omitted tax advisor fees. Now I have received a judicial payment order, against which I can file an objection.
Is it worth filing an objection, or will I just look foolish as a small taxpayer? Can I hold my tax advisor accountable for providing incorrect advice? She was very familiar with my specific home office situation (I always had another workplace available, but for organizational reasons, I mostly worked from the home office), as she also handles taxes for our office manager. Has my tax advisor breached the contract, or do verbally agreed (and previously upheld) agreements not apply?
A desperate, disappointed taxpayer.

Dr. Dr. Danjel-Philippe Newerla

Dear seeker of advice,

Thank you for your inquiry!

I would like to address your question considering the circumstances you have described as follows:

Verbal agreements with your tax advisor are also valid. Ultimately, you only have to pay for what you have officially requested. If your tax advisor invoices unjustified or non-agreed charges, it is advisable to raise an objection.

Whether an objection against the exclusion of the home office deduction is likely to be successful cannot be definitively determined without further information about the situation.

You mentioned that your tax advisor advised against filing an objection, but you did so anyway, which had negative consequences. It does not appear to be a breach of duty on the part of the tax advisor, as she had provided a warning and you still decided to file the objection. Please specify what you consider to be a breach of duty in this context.

I would like to remind you that the legal advice I have provided is based solely on the information you have provided. My response is only an initial legal assessment of the situation and cannot replace a comprehensive evaluation of the facts. Adding or omitting relevant information can lead to a completely different legal assessment.

I hope that my explanations have been helpful. Feel free to contact me through the follow-up option on this platform or via my email address.

I am also available for further legal representation and would credit the initial consultation fee in the event of engagement.

I wish you a pleasant Thursday evening!

Sincerely,

Dipl.-jur. Danjel-Philippe Newerla, Attorney

Heilsbergerstr. 16
27580 Bremerhaven
kanzlei.newerla@web.de
Tel. 0471/3088132