CCH Learning Center

Description:

Recent changes in the tax code and regulations have resulted in heightened obligations for preparers with respect to return information confidentiality, reaching a particular confidence level with respect to a position taken on a tax return, and meeting affirmative obligations under Circular 230 to ensure integrity and fairness in practicing before the IRS. At the same time, practitioners have certain privileges that protect taxpayer information from disclosure by the IRS in controversy proceedings. An understanding of these confidentiality, disclosure, and practice obligations is critical for practitioners to remain compliant with the law while serving the best interest of their clients.

This course first focuses on the obligation of tax return preparers to keep return information confidential. Because tax return preparers have obligations not only to their clients but also to the system of tax administration, the course includes a discussion of obligations arising under Circular 230 (Rules of Practice Before the IRS), and the oversight of such obligations by the Office of Professional Responsibility. This course also outlines the boundaries of a return preparer’s obligations not to take unjustified reporting positions, or to facilitate the understatement of a tax liability. Finally, the course addresses the scope of the confidentiality privileges that attach to communications between taxpayers and federally authorized tax practitioners, and the documents prepared by such practitioners in the course of that representation.

Topics covered in this course include:

• Confidentiality of Tax Return Information
• Definition of a Tax Return Preparer
• Disclosure Rules
• Preparer Penalties