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As a paid return preparer, you must meet due diligence requirements when you prepare returns for self-employed taxpayers who claim certain credits. Which of the

As a paid return preparer, you must meet due diligence requirements when you prepare returns for self-employed taxpayers who claim certain credits. Which of the following Schedule C situations may warrant additional inquiries and documented responses in order to show that you are meeting the due diligence requirements?

Devan files a Schedule C. When you ask him questions, his information appears to be correct, consistent, and complete.

Gabriel files a Schedule C. He has two Forms 1099-NEC and expenses that would be expected for his profession.

Sally files a Schedule C. She reports only cash as income on the return and is claiming the maximum EITC.

Taio files a Schedule C. He has records for all of his income and expenses.

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