𝐀𝐧𝐨𝐭𝐡𝐞𝐫 𝐭𝐚𝐥𝐞 𝐨𝐟 𝐛𝐨𝐨𝐤𝐤𝐞𝐞𝐩𝐞𝐫 𝐟𝐫𝐚𝐮𝐝 – 𝐭𝐡𝐢𝐬 𝐭𝐢𝐦𝐞 𝐰𝐢𝐭𝐡 𝐚 𝐤𝐢𝐜𝐤𝐛𝐚𝐜𝐤!

If you know me then you know I ❤️ bookkeeper fraud! This scheme I happened upon was a first for me. The bookkeeper was crafty and unfortunately only uncovered after she was fired.

As an outsourced accountant, one of my tasks involve year end 1099 processing. A 1099 tells the IRS that your business paid money to an entity or person.

I asked the subcontractor to send me a completed W9 so I can generate a substantial 1099 for work performed in 2022.

The subcontractor responded with, “I’ll come by later to give you an envelope.” I thought he would drop by and provide me a signed W9 for my records.

The subcontractor handed me an envelope of cash. I laughed and was stunned and asked what’s going on?

Well the other lady said if I paid her she wouldn’t give me a 1099 and I could file my taxes with whatever amount I wanted. Since the other lady is no longer here and you took over, here’s your payment.

Mr. Subcontractor that’s called a kickback and it’s illegal. I will be generating a 1099 for all monies you were paid from this establishment.

#accountant #accounting #bookkeeper #bookkeeperfraud #fraud #cfe #consultant #outsourced #outsourcedconsultant #palmbeachaccountant #consulting #managementconsulting #1099 #womanownedbusiness #smallbusiness #smallbusinessconsultant #quickbooks #quickbooksonline #outsourcedaccountant #internalcontrols