[evesocal]

Does anyone know for sure? One of my coworkers says yes, a California CPA has to sign any tax return they prepare, paid or not. He says it’s in some past ethics rules in California and doesn’t know if it’s changed.

I called CALCPA. They don’t know and suggested I call the FTB. I called the FTB and they don’t know, they said call the IRS. I did not call the IRS because I don’t have time to sit on hold and anyway it’s a state question.

Has anyone heard of this? I do a few returns for free for friends and family. I don’t mind signing if I have to but I’d like to know the rule.

B: 75
R: 80
A: 77
F: 81
Ethics: 84, 92 and done!
Licensed in California

[tough_kitty]

Good question! Didn't they teach that in our ethics course? Lol.

Technically, you could say that you HELPED your family/friends with their return and not sign it…. but now that you mentioned it, I'm not so sure…. in my opinion, if you sign the return but don't charge for it, and then get audited, the auditor would have hard time believing you if you say you didn't charge any money for it. That's my personal auditor's opinion 🙂 I may be wrong though.

FAR: 81 (May 2013)
BEC: 81 (July 2013)
REG: 83 (August 2013)
AUD: 82 (November 2013)
California CPA since 1/30/14

[tough_kitty]

Good question! Didn't they teach that in our ethics course? Lol.

Technically, you could say that you HELPED your family/friends with their return and not sign it…. but now that you mentioned it, I'm not so sure…. in my opinion, if you sign the return but don't charge for it, and then get audited, the auditor would have hard time believing you if you say you didn't charge any money for it. That's my personal auditor's opinion 🙂 I may be wrong though.

FAR: 81 (May 2013)
BEC: 81 (July 2013)
REG: 83 (August 2013)
AUD: 82 (November 2013)
California CPA since 1/30/14

[tough_kitty]

Think VITA – they help but don't sign. I'll be doing VITA this year after I get my license. I obviously, won't be signing any returns.

FAR: 81 (May 2013)
BEC: 81 (July 2013)
REG: 83 (August 2013)
AUD: 82 (November 2013)
California CPA since 1/30/14

[tough_kitty]

Think VITA – they help but don't sign. I'll be doing VITA this year after I get my license. I obviously, won't be signing any returns.

FAR: 81 (May 2013)
BEC: 81 (July 2013)
REG: 83 (August 2013)
AUD: 82 (November 2013)
California CPA since 1/30/14

[TAXMAN710]

Look at the actual tax return. The line says “Paid preparer Use only.” Seems pretty clear to me. No grey area at all.

REG-July 12
BEC-May 12
FAR-July 12
AUD-October 12

[TAXMAN710]

Look at the actual tax return. The line says “Paid preparer Use only.” Seems pretty clear to me. No grey area at all.

REG-July 12
BEC-May 12
FAR-July 12
AUD-October 12

[evesocal]

tough_kitty, thanks! Good to know VITA preparers don't sign! That seems definitive. I agree, if you sign you have liability even if you are not paid.

Taxman, I always thought that “paid preparer” was definitive too until my coworker said this. He wouldn't say it lightly, he is a tax partner. But they don't know everything lol.

B: 75
R: 80
A: 77
F: 81
Ethics: 84, 92 and done!
Licensed in California

[evesocal]

tough_kitty, thanks! Good to know VITA preparers don't sign! That seems definitive. I agree, if you sign you have liability even if you are not paid.

Taxman, I always thought that “paid preparer” was definitive too until my coworker said this. He wouldn't say it lightly, he is a tax partner. But they don't know everything lol.

B: 75
R: 80
A: 77
F: 81
Ethics: 84, 92 and done!
Licensed in California

[tough_kitty]

H&R Block don't sign returns either! Their recent commercial DRIVES ME CRAZY!!!! “Get your BILLION back, America!” They make SO many obvious mistakes!!! I did VITA before and people came with returns from the previous year…. the woman claimed EIC for the previous year and when I asked her when her divorce was final, she said it WILL be final soon….but HR Block did her return as SINGLE!

FAR: 81 (May 2013)
BEC: 81 (July 2013)
REG: 83 (August 2013)
AUD: 82 (November 2013)
California CPA since 1/30/14

[tough_kitty]

H&R Block don't sign returns either! Their recent commercial DRIVES ME CRAZY!!!! “Get your BILLION back, America!” They make SO many obvious mistakes!!! I did VITA before and people came with returns from the previous year…. the woman claimed EIC for the previous year and when I asked her when her divorce was final, she said it WILL be final soon….but HR Block did her return as SINGLE!

FAR: 81 (May 2013)
BEC: 81 (July 2013)
REG: 83 (August 2013)
AUD: 82 (November 2013)
California CPA since 1/30/14

[ymmit]

Go to 1040 pg 2. Look at the “paid preparer use only” section. Look at the “Preparer's signature” box. Mark “Self-Prepared” in that box. That is the proper way to handle a informal return you do for someone. It is just saying the taxpayer did the return his/her self, which is correct if they did not pay you. (you just helped them)

Licensed CPA!

[ymmit]

Go to 1040 pg 2. Look at the “paid preparer use only” section. Look at the “Preparer's signature” box. Mark “Self-Prepared” in that box. That is the proper way to handle a informal return you do for someone. It is just saying the taxpayer did the return his/her self, which is correct if they did not pay you. (you just helped them)

Licensed CPA!

[Author]

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