Tax Ethics and Circular 230
Nick Preusch CPA, JD, LLM, is a tax manager with PBMares, LLP. Nick has participated in helping high wealth individual and large business entities with complex tax compliance, along with specializing in international, non-for-profit tax issues, and tax ethics issues.
Nick has also worked with the Internal Revenue Service as a Revenue Agent and an Attorney with the IRS Office of Professional Responsibility. Nick is a graduate of Carthage College with a BS in Accounting and Business, the University of Connecticut with an MA in Accounting, Case Western Reserve University with a JD, and Georgetown University with an LLM in taxation. Nick has also authored publications for the AICPA’s Journal of Accountancy, AICPA’s Tax Advisor, NATP’s Tax Pro Journal, and CCH’s Journal of Tax Practice and Procedure. He also co-authored a textbook, Tax Preparer Penalties, and Circular 230 Enforcement, published by Thomson Reuters. He has lectured nationally on topics such as ethics, complex tax transactions, and IRS practice and procedure.
Currently, Nick is an adjunct professor at the University of Mary Washington. Nick has been recognized as the Top 5 Under 35 CPAs in Virginia by the VSCPA in 2017, CPA Practice Advisor’s Top 40 Under 40 in 2018, and is a member of the VSCPA’s Tax Advisory Committee, and the AICPA’s Tax Practice and Responsibilities Committee.
Congress is currently considering legislation that would require all tax preparers to follow the ethical guidelines and rules under Circular 230.
Currently, the IRS only requires practitioners who represent taxpayers before the IRS to follow Circular 230 due to the Loving case. Even though tax representation creates a jurisdiction hook, tax representatives can still run afoul for tax preparation issues under Circular 230.
The class will go over the basics of the IRS Office Professional Responsibility, with how the office functions, handles cases and interacts with tax practitioners.
We will then cover jurisdictional issues of who is subject to Circular 230 and what kind of conduct will be covered under Circular. We will also look at the sanction power of OPR, including how OPR could levy a penalty equal to three years of your firm’s gross receipts.
After covering the basics of the OPR, we will then look at the individual sections of Circular 230 that create a duty for tax practitioners to follow as not to violate Circular. Each ethical rule that we discuss will focus on real-life examples of actual practitioners who were in trouble with OPR for that violation.
Finally, we will cover what to do in a situation where OPR reaches out to you as a practitioner for possible violations of Circular 230.
The IRS requires people who represent taxpayers before the IRS to comply with the regulations under Circular 230. In addition, there is pending legislation that would require all tax preparers to follow the rules set forth in Circular 230.
- Tax Ethics
- Circular 230
- Due diligence
Course Level - Intermediate
Who Should Attend
CPA, Attorneys, Enrolled Agents
Why Should Attend
Circular 230 sets forth the rules and ethical guidelines for tax practitioners. Failure to abide by those rules can result in tax practitioners from losing their rights to represent taxpayers before the IRS or even face a large fine for violating Circular 230.
With possible legislation looming that would require all tax return preparers to follow Circular 230, there is no better time to get a refresher on the requirements of Circular 230.
Taught by a former IRS – Office of Professional Responsibility attorney, this course will cover real-life examples of how practitioners violated Circular 230. Often, these violations are honest mistakes and can occur without the practitioner even realizing the mistake happened.
This course will provide all the details a tax practitioner needs in order to say on the right side of OPR and reduce the chance of facing any type of sanction or fine.
In addition, we will cover several areas such as due diligence and documentation that will help reduce the chances of losing in a malpractice case.