Allan, you’re absolutely correct about “playing ball” on the audit side. Remember, the CPA profession licensing is based on the attest function, not on tax prep, and the revenue stream derived from audits and consulting is huge, especially since the inception of Sarbanes-Oxley.

I lost my innocence as a first year staffer for one of the Big 8 when it came time to trade off issues at the final audit meeting, in which I was not included. My audit senior explained to me what was transpiring, the bargaining process, and how this was common.

I submit in any form of big business it is impossible to succeed if you play by the rules because of widespread ethics breaches and corruption, and that this is common at THE TOP LEVEL, not at the worker bee level. What a sad commentary on ethics.

Having said that, I still maintain that almost all CPA tax preparers out there run their small business with integrity and would never compromise their license and livelihood to falsify an individual tax return. I know it happens, but infrequently, because it is just not worth the consequences to the sole proprietor or small partnership.