CPA Won't File Correct Amount of Depreciation

[John C.]

I talked to my CPA today and found out she wont file the correct amount of depreciation on my tax returns unless I show her all the receipts to corroborate. I own 6 properties and all of them have capital improvements when I purchased the properties 4 years ago. However, she insists she will depreciate SOLELY based on my purchase price of the properties but not the capital improvements unless I show her every receipt for the capital improvements. I have the receipts at home, but my question is, shouldn't a CPA take your word for it first, then I should produce the receipts to corroborate it if I'm audited? I'd like some input from the community here. Thanks!

[Bryan O.]

It sounds like you are both a problem. If you don't have the receipts for your capital improvements and you are taking depreciation for it, how will you pass an audit? You can claim whatever you want, and you'll get away with it until you don't. And if you are too busy "running your business" to run your business, then get a bookkeeper, VA, or whatever you need to get organized enough to have a business rather than hobby. It sounds like she already expects that you are failing based on her experiences with you last year.

In my book, both of you are fired  :)