I was a contract
(but we did not have a contract in place) for a small business
for 14 years. I had moved out of town, and I continued to prepare their payroll, financials from another town. They always had a 2nd bookkeeper at the business
that did payables, deposits, etc. For the past several years, cash flow became an issue. It is an S-corp. A CPA
firm prepared all tax returns, but I did payroll, payroll tax reports, etc. The owner quit taking a paycheck the cash flow was so dire for several years. In 2013 her co-owner and spouse had her taking amounts, which he directed me (because he was applying for a loan) to put into payroll, causing payroll taxes due the following month. Because of the cash flow issues, I paid the payroll taxes late. Same think happened in 2014, causing penalties in 2015. Late notices were received by the owner, and he would fax to me. I tried my best to keep up, but I admit I grew very weary of all of it. I should have quit, but instead I quit paying them altogether for the 2nd quarter of 2015. They received yet another notice, this time firing me. I felt horrible, have tried apologizing time after time, that part was my fault. Now they have sent me 4 or 5 threatening letters demanding (first $50K, now $19K). I offered to pay the penalties for the 2nd quarter of 2015, and they are now hounding me for more and threatening lawsuits and jail. The owner's husband loves to sue people. Anyway, I can't take it anymore. My husband recently lost his job, and is 60 years old. I am 59. The owner's husband keeps digging into the books and accusing me of "diverting" funds, which is his words for saying I miscoded and therefore stole. I am at the end of my rope. Please help!