Hi I need help answering this questions
Chapter 26 Homework Provide a short answer (3-4 lines) for the following hypothetical situations. To recleve full points, your response must include: (1) an answer to the question (e.g., yes, no, etc.); (2) a SHORT explanation for your answer; and (3) the applicable citation under Circular 230 (e.g., \"sec. 10.32\" or \"10.32\"). You can "cut & paste and summarize" from Circular 230. Present your homework in an organized and professional manner -- if I can't read it, you won't be awarded points! HINT: I am only looking for the single-most applicable section of Circular 230 directly applicable to each question (i.e., don't write two sections of Circular 230 as an answer). You can use a section of Circular 230 to answer multiple questions (e.g., 10.20 may be applicable to several questions). You should be able to nd locate the answers to the hypotheticals in the following sections of Circular 230: 10.2 1020 10.21 10.22 10.23 1o.24 1o.25 1027 1023 1029 10.3o 1o.31 10.32 you (310.37 15.10.50 10.51 10.53 10.7s 14. Your client, Employer, ask you to submit to the IRS a Form W-4, Employee's Withholding Allowance Certificate, claiming numerous exemptions that it received from one of its employees. Although the employee hasn't made any oral or written statement to Employer indicating the Form W-4 is false, Employer tells you it has reason to believe the Form W-4 is false. Can you submit the Form W-4 to the IRS? 15. In a collection case, you have advised your client that you will try and delay giving the IRS information as long as possible so that the client does not have to start making payments on a federal tax liability. Have you violated your duties under Circular 230? 16. Assume that you worked for the U.S. attomey's office (federal prosecutor's office) and just retired as the head of the tax division for your district. You now work for a large law firm. Just before you left the U.S. attomey's office, you were involved in reviewing some criminal tax matters involving Phillip Blake (aka "The Governor"). One year later Mr. Blake comes to your firm seeking representation. Can your firm represent Mr. Blake?17. As a practitioner, you knowingly submit false documents to a Revenue Agent during an audit. The Revenue Agent discovers the false information and refers the matter to the Office of Professional Responsibility (OPR). The Secretary of the Treasury has delegated authority to OPR to determine alleged misconduct in violation of Circular 230. OPR ultimately determines you violated your duties under Circular 230 through your disreputable conduct. OPR sanctions you. Can OPR do this? 18. Your client loans $100,000 to his brother to invest in a travel agency business that will be owned by the client and the brother. You know the client has never worked in the business and is a full-time physician by trade. The travel agency goes under. The client wants to take the position loan is a business bad debt. You think this position is unreasonable. Can you prepare and sign the return with this position? 19. Jack and Jill are divorcing after Jack accused Jill of pushing him down a hill. The IRS is currently auditing the couple's 20XX joint return and their accountant is representing both of them in the audit. Jack may qualify for the innocent spouse defense to any assessed tax liabilities resulting from the audit. The Revenue Agent as asked the accountant if Jack intends to seek innocent spouse relief as the Revenue Agent believes Jack would qualify for such relief. The accountant tells the Revenue Agent that he does not want to inform Jack of his innocent spouse rights because it will just prolong the audit, which Jill wants closed soon. What is the Revenue Agent expected to do?20. Bob suffered a workplace injury that left him unable to work. He sued his former employer. Bob and his employer agreed to settle the lawsuit and Bob received a large settlement last year. Bob's accountant did not report the settlement as taxable income on Bob's tax year for that year. The IRS disagreed and adjusted Bob's retum to include the settlement as taxable income. Bob has come to you to file a petition to the US Tax Court challenging the IRS' position regarding the taxability of the settlement. Bob would like to know whether you would take a contingency fee
