CPA: Padilla should have referred former client to other accountants

Was it appropriate for the Secretary of the New Mexico Taxation and Revenue Department to get involved with the audit of a former client for whom she once did accounting work? Last week, NM Political Report wrote about how Demesia Padilla, the TRD secretary, wrote a letter asking her own department for lower tax penalties for Harold’s Trucking, a Bernalillo-based business. Before becoming a cabinet secretary in 2011, Padilla handled the business’s financials as a certified public accountant. Padilla’s agency was handling an audit of Harold’s Trucking and Padilla herself stepped in to help out the business. Padilla’s old CPA business had lost tax documents belonging to Harold’s Trucking, she wrote in the letter, and therefore the business shouldn’t be penalized for her mistake.