Eric and Rob,
Thank you for the helpful information. Right now I am waiting on the “voluminous” discover from the state (per the criminal defense attorney). Has the earmarks of an interesting case.
Eric, from my meeting with the defense attorney and client, client denies any underreporting. Intermingled funds between biz and personal accounts from her Sch C so maybe a defense there. Otherwise I will be talking with counsel about proper expense reported to reduce tax loss.
I listened to your CPE from CCH CPELink and Robert McKenzie’s through ASTPS. Both were very helpful in giving me some hints on how this needs to be attacked.
We will see.