Question
Aurora, a self-employed taxpayer, reports all her income on Schedule C. During the tax interview, Aurora's Tax Professional determines that Aurora may qualify for the
Aurora, a self-employed taxpayer, reports all her income on Schedule C. During the tax interview, Aurora's Tax Professional determines that Aurora may qualify for the Earned Income Credit. The Tax Professional MUST __________.
Inform Aurora about her eligibility for the credit and attach documentation of her income and expenses to the return.
Document the questions they asked and Aurora's answers to the questions pertaining to the income.
Prepare the return in a way that is disadvantageous to the taxpayer.
Tell Aurora that the return will most likely be audited by the Internal Revenue Service.
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