During the course of reviewing a client's tax returns for earlier years, you noticed that his reported

Question:

During the course of reviewing a client's tax returns for earlier years, you noticed that his reported interest income dropped off substantially this year from prior years. You also did not notice any sales of bonds reported by your client this year. Interest rates have been steady over the past few years. Your client did not ask you to review his prior tax returns. Do you have a duty to ask your client to explain why his interest income changed so much?
Your client is disabled and unable to work. However, the state tax form he is about to file asks for a taxpayer's Trade or Business. How should you answer that question?
Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Question Posted: