AICPA Ethical Standards

H&R Block’s Tax Services segment provides income tax return preparation, electronic filing and other services and products related to income tax return preparation. Clients are offered a number of options for receiving their income tax refund, including a check directly from the IRS, an electronic deposit directly to their bank account, a prepaid debit card, a refund anticipation loan (RAL) or a refund anticipation check (RAC). Major revenue sources include; fees earned for tax preparation services performed at company-owned retail tax offices, royalties from franchise retail tax

1 taxpayers' reliance on disputed advice was unreasonable as to late filing of tax return;

| The firm recommended an aggressive tax position to the client that is more likely than not to be legally allowed.

In preparing or signing a return, a member may trust the information furnished by the taxpayer or by third party. Nevertheless, tax preparers cannot ignore the information to be incorrect, incomplete or inconsistent. Further, tax preparer should certain the tax returns related information and consider any confidential limitation that imposed by any laws or rules. Even though there is no need for a member to exam the supporting data, the member is required to encourage the taxpayer to provide correct supporting data. Besides, a member should use a taxpayer’s returns for one or more prior years in preparing the current year tax return whenever

Instructions: You should prepare a legal memorandum to your client providing tax advice on the proposal set forth here. Be sure to include citations to code sections, regulations and other authorities that you rely upon in reaching your conclusion. The paper generally runs about two to three pages and is due the last day of class or May 10, 2011..

Physical therapists often encounter ethical situations in and outside the workplace. The APTA has several resources to help guide PTs and PTAs to make sound ethical decisions related to their practice. As a PT student, it is important not only to consider possible issues that may arise during my academic and future professional career, but also to become familiar with the APTA’s guidelines and professional standards. This paper will utilize several APTA documents to explore ten hypothetical ethical scenarios.

1. Determine a taxpayer’s regular tax liability and identify tax issues associated with the process.

230 §10.20(1) to timely provide records pursuant to RA Beth’s document request. Additionally, under Circular No. 230 §10.20(3), I am obligated to provide information regarding the potential understatement of income to the requesting IRS agent. While Morty is uncomfortable with acknowledging his potential income understatement and providing updated financial statements with supporting documentation, I have “a duty…to not mislead the IRS ‘deliberately and affirmatively, either by misstatements or by silence, or by permitting [the] client to mislead.’” (Hawkins 2017, p.

As stated in Internal Revenue Code 6694, a tax preparer who prepares a tax return or claims a refund that includes an understatement of liability due to an unreasonable position is liable for a penalty if the tax preparer knew or reasonably should have known of the understatement. The penalty is the greater of $1,000 or 50% of the income the preparer earned regarding the return or claim. The penalty increases to the greater of $5,000 or 50% of the revenue if the understatement or refund request is due to willful or reckless conduct (Taxes: Applying the Understatement Penalty). The focus of the penalty provisions was to address perceived fraudulent and abusive behavior due to individual income tax preparers and to attempt to reduce this perceived widespread abuse by passing the punishment on to the signing tax preparer.

If an individual reconciling item amounts to more than 5 percent of the amount computed by multiplying the income before tax by the applicable statutory federal income tax rate, disclose that amount separately

Fourth, use of the vague phrase “tax advice”, coupled with the lack of any statutory definition of such phrase leads to disputes between parties as to what constitutes “tax advice.” Case law is replete with examples of parties claiming communications contained “tax advice” merely because tax issues were discussed. If courts have interpreted “tax advice” to be a narrow definition, the statute should be amended to avoid further

There are two parts to the Certified Management Accountant's exam. The first part has 100 questions and 2 essay questions on the topics of external financial reporting decisions; planning, budgeting, and forecasting; performance management; cost management; and internal

Coverage of Code sections 6694 and 6695 will cover the understatement of taxpayer’s liability by tax return preparer and other assessable penalties with respect to the preparation of tax returns for other persons. Furthermore, this paper will define what is “practice before the IRS”, who may practice and what are the rules on return of client records.

The Federal tax code of the United States mandates that every U.S. citizen receiving income who meets a minimum income threshold complete and file a federal income tax return prepared in accordance with a complex set of regulations (Arsenault, 2013; Internal Revenue Service [IRS], 1974; Publication 17 [Pub.17], 2016). This tax preparation model relies upon the principal-agent theory to ensure taxpayer participation. In this system, the government is the principal who requires the taxpayer to voluntarily submit a compliant return as its agent. Anyone acting on behalf of the taxpayer becomes an agent for both the government and the taxpayer.

I Nicholas Chibanda, an employee of EZM Tax Services, prepared tax returns for Tara Man Khanal in 2015. Tara’s first tax returns was rejected by the IRS and was corrected in order for the IRS to accept them. Tara got confused with the two tax returns which he had, one being correct and other not. He kept the wrong 1040 and provided the Flagstar Bank with incorrect 1040. Tara has the new correct 1040 and has provided the loan officer which he is working with the correct 1040.