Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

In providing your answer, you must provide the specific provision(s) of Circular 230, allowing or prohibiting the proposed action(s). 1. Can the firm endorse our

In providing your answer, you must provide the specific provision(s) of Circular 230, allowing or prohibiting the proposed action(s). 1. Can the firm endorse our client's tax refund and deposit it into the client's account? Our client requested that we deposit it because the client was out of town. 2. Can the firm represent two clients with conflicting interests? We reasonably believe that we can successfully represent both clients. Both clients have provided written consent as to the representation and the representation is not prohibited by law. 3. One of the firm's accountants noticed that one of his clients did not comply with an applicable revenue law. This noncompliance caused an error on the client's tax return. The accountant immediately informed the IRS of this error. He did not inform the client since his client was on vacation and the accountant did not want to bother her. 4. Can we advertise our fees for an initial consultation and our hourly rates? All of these were reasonably based. 5. One of our accountants received a fine for speeding through a school zone while on the way to the IRS office. 6. Frank, a CPA who practices in the same our area, has obtained his clients by deceptive and misleading advertising. We have assisted Frank throughout the year in his practice. However, we did not know that Frank obtained his clients in violation of Circular 230. 7. Can the firm charge a contingent fee in relation to an IRS examination of an original return? 8. A fee dispute has arisen between our firm and one of our clients. We are withholding the client's records until the dispute is settled even though we did not prepare the document requested. The client needs the record requested to comply with his tax obligation.
image text in transcribed
providing your answer, you must provide the specific provision(s) of Circular 230 , allowing or prohibiting the proposed action(s). 1. Can the firm endorse our client's tax refund and deposit it into the client's account? Our client requested that we deposit it because the client was out of town. 2. Can the firm represent two clients with conflicting interests? We reasonably believe that we can successfully represent both clients. Both clients have provided written consent as to the representation and the representation is not prohibited by law. 3. One of the firm's accountants noticed that one of his clients did not comply with an applicable revenue law. This noncompliance caused an error on the client's tax return. The accountant immediately informed the IRS of this error. He did not inform the client since his client was on vacation and the accountant did not want to bother her. 4. Can we advertise our fees for an initial consultation and our hourly rates? All of these were reasonably based. 5. One of our accountants received a fine for speeding through a school zone while on the way to the IRS office. 6. Frank, a CPA who practices in the same our area, has obtained his clients by deceptive and misleading advertising. We have assisted Frank throughout the year in his practice. However, we did not know that Frank obtained his clients in violation of Circular 230. 7. Can the firm charge a contingent fee in relation to an IRS examination of an original return? 8. A fee dispute has arisen between our firm and one of our clients. We are withholding the client's records until the dispute is settled even though we did not prepare the document requested. The client needs the record requested to comply with his tax obligation

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial Development Institutions Growth And Poverty Reduction

Authors: Basudeb Guha Khasnobis, George Mavrotas

2008 Edition

0230201776, 978-0230201774

More Books

Students also viewed these Accounting questions

Question

What are the stages of project management? Write it in items.

Answered: 1 week ago