I have had a client for 25 years and his corporation has paid significant fees over the years. I knew when I started with this client that he was difficult. Had significant mood swings and outburst of anger so I made sure that up front I was given access to the monthly bank account and check images so that I could keep the records, general ledger and tax preparation relatively independent of routine contact with this individual. Over a 25 year period, this approach worked relatively well. However during all of that time, I would always wonder when the shoe may drop. Outburst, threats, yelling would occur several times per year. When I was fortunate enough to meet with this client, he would act as though everything is perfect and just fine. I went along with this program because I was paid well. The corporation's gross was approximately 5 million and I handled the payroll, the general ledger, the tax payments, the employment agencies and taxes, the banks, the loans, the corporate taxes, city taxes, state taxes, personal taxes, licensing, etc. I was paid well.
Each year I thought is a basic miracle to have survived and would be relieved to see January bank statements arrive, and a normal process begin that would start a new year.
This year, back in December a new employee was hired by this client. This employee knows everything. He is going to rework the whole office administration of the business. I warned my client that this much trust in a new employee presented possible problems, and that my job was complicated and very involved. I started to see that the new employee, (a non CPA, a non accountant) basically a formally uneducated individual was advising my client on important tax matters and accounting matters. Such as how things should be set up and who does what. I warned my client, and over a period of weeks, by client took and had many temper tantrums screaming that I was ripping him off and that his whole office was ripping him off. But yet, he made no changes. The new year came, and I began a new year of payroll preparation, with the expectation that bank statements would arrive in February coming up for January representing the start of a new year. Well, to my surprise I receive notice from the bank, that the statements have been changed to go somewhere else, and not to my office. This is a first time in 25 years.
I can't call my client, as he will not answer the phone as he cannot tolerate any degree of facing me or confrontation. So, I sent a text asking what is going on? Explaining that I need the statements to properly do my job. No response. I need the statements as to account for millions of dollars over the years time, the many employees, and the many banking and taxation responsibilities that are applicable.
I am left in the dark. Here it is yearend, the w2s are coming due, the year end financial statements for banks and then of course the tax preparation related to the corporations, and related parties. I have historically maintained the general ledger and all supporting subsidiary accounting books. I suppose there is an expectation to some degree however I don't know what that is. This is a crazy situation because of the long relationship, the very significant yearly fees, and the complete uncertainty of it all.
Perhaps the answers here are obvious, however I am still interested in the points of view in this group.