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As a bookkeeper how do I protect myself if my employer is commiting tax fraud, insurance fraud and inconsistencies in all benefits.


I have worked for this employer for only three weeks. The employer makes up his own rules as to what he chooses to report for the purpose of property taxes. He tells me to "let them come after us".

He defines Entertainment expense as any restaurant or liquor bill over $20.

He makes up the rules as he goes along on insurance coverage. His insurance application states a six month wait. With no rhyme nor reason he offers or does not offer coverage. He does the same with vacation and holiday pay.

He has not funded the 401 (k) for six months (including employee deductions) so he now wants to tell the employees that we stopped the plan in February and are now again offering the benefit.

In catching up the bank statements, I've entered checks and deposits. He does not want me to enter the material invoices. He wants me to simply distribute the credit card bills that he pays vendors with when the credit cards are paid. This company is an accrual company. He prefers no vendor tracking. He will be using this incomplete information to present to the bank for lending purposes.

I don't yet know what he has listed as capitol assets but He has told me that if its not at least $20,000 to expense it.

I don't sign anything.

I continue to advise him as each situation presents itself the legal way and the penalties. He says, don't talk about it just ...(basically do it his way). I then proceed to follow GAAP. I am forced to disregard his direction. He will eventually fire me for being ethical.

I was on the federal extension of unemployment before I got this job. If I quit or am fired I believe I would have to prove my case that he insists I violate public policy.

I am keeping notes and copies of what I can. What will I need to truly prove my case. Meanwhile I am desperately seeking gainful employment.

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