You are a CPA working for a local firm and have been assigned the 2013 tax returnof Bobby Crosser. In going over the data that Bobby gave the firm, you are surprised

to see that he has reported no dividend income or gains from the sale of stock. You recently prepared the 2013 gift tax return of Bobbys aunt Esther. Inthat return, Esther reported a gift of stock to Bobby on January 6, 2013. The stockhad a fair market value of $50,000, and Esthers basis in the stock (which became Bobbys basis) was $5,000. What are your obligations under the Statements on Standards for Tax Services (which can be found at www.cengagebrain.com)? In your discussion, state which standard(s) may apply to this situation and what might result from applying the standard(s).

Respond to the Ethics Discussion Case at the end of chapter 4. Appendix D is not available, but the Statements on Standards for Tax Services can be obtained fromhttp://www.aicpa.org/Research/Standards/Tax/Pages/default.aspx.