From risk tolerance to IRS scrutiny, tax professionals say your bad habits can undermine your return.
Original story published in Bloomberg READ HERE
February 13, 2026 at 6:00 AM EST
What Elite Tax Pros Wish Their Wealthy Clients Knew
Your accountant is talking about you. As tax season hits high gear, that reality becomes harder to avoid. Client files pile up ahead of the April 15th deadline, anxieties rise and the requests tax professionals field grow more elaborate — and occasionally absurd.
“I can constantly say that I really like 99% of my clients,” says Joon Um, president of Secure Tax & Accounting in Beverly Hills. “The rest of the 1%? You know… we’re still working on building the relationship.”
That relationship matters not just for your accountant, but for you. The goal of hiring a tax professional is to save time and money. Too often, industry veterans say, clients’ faulty assumptions and bad habits get in the way of a smooth experience — and bigger refund.
Don’t Deduct Your Lamborghini
It’s a common complaint across the tax industry, one that has grown more brazen in today’s digital economy. Clients have long tried to write off “business” expenses — dinners, trips, even properties — that might veer into the personal category more than the Internal Revenue Service would like. The issue has collided with the rise of the creator economy, at a time when some 27 million Americans say they are paid content creators. Influencers can earn six-figure salaries posting images of themselves with expensive items online. That does not make them deductible.
“For the past few years we’ve been getting more and more young clients, like influencers,” says Um in Beverly Hills. “Some of them really make a lot of money and want to write off a lot of luxury items. Their argument is that they’re related to their business.”
The tax code, however, is strict about what can and can’t be deducted. As a general rule, goods written off for business purposes must be used exclusively for work. A Lamborghini you pose with on Instagram and drive personally, or a designer handbag you feature on a blog post as well as carry in your day-to-day life? Those distinctions become hard to defend in an IRS audit.
Cheap Accountants Can Cost You More
The frustrating reality of tax preparation is that you have to pay one professional to settle a bill with another. Behavioral economists call this loss aversion, and it often nudges people toward the cheapest available option. Accountants say that instinct regularly backfires.
“If you choose to go with someone who is very cheap, that means they make their money by volume, which means they’re going to rush through your return,” says David Silversmith, senior manager in the private client services at EisnerAmper LLP in New York. “That means they’re going to make mistakes.”
This may sound an endorsement for higher fees, and Silversmith is careful to make a narrower point. A potential client once came to him after working with a cheaper competitor who overlooked a $57,000 capital loss on his returns. That error would have translated to $18,000 in tax savings. When the potential client heard Silversmith would charge about $3,000 to prepare his taxes, he balked, saying it was too expensive.
“I’m like, ‘Dude,’” Silversmith recalls thinking. “‘I could have saved you $18,000.’”
Beware “Tax Torpedoes”
Accountants know you’re smart and well-researched. They also know many filers are surprised to learn they owe more than expected. Part of the reason is timing. In tax planning, filing season is the end of the story, not the beginning. Your returns reflect decisions already made, with limited room to undo them.
There are more subtle traps. Most clients often focus on marginal rates, understanding that income is taxed in brackets as they hit different income thresholds. What they sometimes miss are cliff effects, known in the industry as “tax torpedoes.” These occur when relatively small increases in income disproportionately hit a person’s taxes by triggering the phaseout of certain deductions or credits.
This dynamic surprised a client of Deva Panambur, founder of the fee-only advisory Sarsi in New York, New York. The self-employed client, with taxable income of about $225,000, assumed his tax rate based on IRS brackets would be 32%. What he hadn’t realized was that his higher income disqualified him from the qualified business income deduction and that he was also subject to the net investment income tax, applied to investment income above a certain threshold.
Part of the confusion was in how marginal tax rates actually work. While IRS brackets suggested a 32% rate, earning higher income meant losing a major deduction and triggering additional taxes simultaneously. The combined effect was that each additional dollar of income would be taxed at an effective rate of 63.1% — a hit Panambur said he was able to mitigate by shifting some income and expenses.
The IRS Knows Your Tricks
If all of this is enough to leave your head spinning, don’t make the move that most surprises Catherine Valega, the owner and enrolled agent of Green Bee Advisory in Boston.
“The craziest thing that I have heard and seen is people who just don’t file taxes… for years,” she says. “It’s like driving without a seatbelt on, but heading straight towards the oncoming car.”
The IRS has powerful tools at its disposal to extract taxes. The agency is well aware of common avoidance tactics, the accountants and agents say, and can garnish wages or even Social Security income. Failure-to-pay penalties compound over time, and tax liens can severely damage credit.
The takeaway, tax professionals say, is straightforward: get your documents in order early, don’t expect magic and if you don’t like your results this season, at least you can plan ahead for next year.