I just started studying REG too. Here are the things I have in my notes on C230:
Practice before IRS includes prep and filing docs, corresponding/communicating with IRS, written advice, representing a client. Limited to CPAs, attorneys, EAs (limited purposes EAs, ERPAs, RTRPs)
Existence of dispute over fees does NOT allow you to retain client records.
Advise CLIENT of noncompliance, errors and omissions along with consequences.
Exercise due diligence
May NOT charge contingent fee for preparing ORIGINAL returns. May charge contingent fee for IRS exam, amended return, services rendered for judicial proceedings
May not willfully, recklessly or through gross incompetence sign a tax return containing a position that lacks REASONABLE BASIS
May not advise client to take a FRIVOLOUS position
Must inform client of any penalties that are likely to apply to a position taken on a return
May rely in GOOD FAITH WITHOUT VERIFICATION on info provided by client. Must make REASONABLE INQUIRIES if info appears incorrect, incomplete or inconsistent
Preparer penalties for:
-position on return without substantial authority
-willful attempt to understate tax liability by preparer
-reckless or intentional disregard of rules/regs
Preparer must:
-sign return done for compensation
-provide copy of return to taxpayer
-keep list OR copies or prepared returns for 3 years
-NOT endorse or cash refund check issued to taxpayer
-NOT disclose info, unless for quality/peer review or under reg agency order
–these items also subject to preparer penalties
This is just my first round of notes. Hope it helps some!!
AUD 4/12/12 79
FAR 5/29/12 76
REG 8/2/12 82
BEC 8/30/12 72 Retake 10/18/12 76!!! DONE!!!!
ExamMatrix, Wiley Books, NINJA notes and audio
LICENSED ALABAMA CPA 11/30/12
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