A PUBLIC ACCOUNTANT is found to have colluded (private agreement) with a client to misrepresent their accounts to overstate expenses on a large scale to reduce the client's tax bill in order to retain the business. (The client indicated that they would find another accountant if they did not agree.) An accountant has spent a lot of time preparing a client's accounts and the billing to the client is much higher than the previous year. The client queries the bill. An accountant is very proud of his,or her work and tells their friends at a social gathering about the details of the work and the outcomes they have just completed. A PUBLIC ACCOUNTANT is aware that new provisions for the taxation of trust distributions are coming into effect however because they are very busy, does not have time to attend training seminars or read up on the new laws. The accountant prepares the accounts without taking into account the new laws and the client is unfavourably taxed due to errors in their accounts