Preparing Return Basics
What form is used by preparers to sign a paid tax return?
What is the paid preparer section on Form 1040?
By what date are individual tax returns due, unless extended?
What is April 15 (or the next business day)?
What form documents a preparer's due diligence for credits like EITC?
What is Form 8867, Paid Preparer's Due Diligence Checklist?
Which form authorizes a representative to act before the IRS?
What is Form 2848, Power of Attorney?
What is Circular 230?
What are the regulations governing practice before the IRS?
Who is required to sign tyhe return if a preparer is paid to complete?
Who are the taxpayer and the paid preparer?
What is the penalty for failing to file a tax return by the due date?
What is 5% of the unpaid tax per month, up to 25%?
What is the penalty for each failure to meet due diligence requirements?
What is $600 per failure?
Who may practice before the IRS?
Who are attorneys, CPA's, and enrolled agents?
What office administers Circular 230?
What is the Office of Professional Responsibility (OPR)?
What is the penalty for a preparer failing to sign a return?
What is $50 per failure, up to $27,000 per year?
Can a preparer electronically file a return without the taxpayer's consent?
What is no, taxpayer consent is required?
Name two refundable credits that require due diligence.
What are the Earned Income Credit and the Child Tax Credit?
What is Form 8821, Tax Information Authorization?
What must practitioners do if they learn of a client's noncompliance?
What is advise the client of the error and consequences?
What number must eery preparer include when signing a return?
What is the Preparer Tax Identification Number (PTIN)?
Who is ultimately responsibe for the information on a tax return?
Who is the taxpayer?
How long must preparers keep records of due diligence documentation?
What is 3 years?
Can an unenrolled return preparer represent clients before the IRS?
What is yes, but only for returns they prepare and only for an examination?
What standard requires a preparer not to sign a return with an unrealistic position?
Can a preparer endorse or cash a client's refund check?
What is no, it is prohibited?
What penalty applies for fraudulently failing to file a return?
What is 15% per month, up to 75% of the unpaid tax?
If a preparer knowingly understates liability, what penalty applies?
What is the greater of $1,000 or 50% of the income from the return?
What does "limited practice" mean in relation to the IRS?
What sanction can the IRS impose for violations of Circular 230?
What are censure, suspension, or disbarment?