Tax Preparer Due Diligence Audits: Avoiding and Preparing for IRS Examinations, Acting on Letters 5025, 4858, 5364
Note: CLE credit is not offered on this program
Recording of a 110-minute CPE webinar with Q&A
This webinar will explain steps tax preparers can take to ensure they meet the IRS' due diligence requirements for claiming taxpayer credits and benefits, including the American Opportunity Tax Credit, Earned Income Credit, Child Tax Credit, and Head of Household Filing status. Our panel of IRS examination experts will discuss how and when to respond to IRS letters, completing Form 8867, Paid Preparer's Due Diligence Checklist, required documentation and retention, and how to handle an IRS due diligence examination.
- Due diligence audits: background
- Due diligence compliance areas
- Earned Income Tax Credit (EITC)
- American Opportunity Tax Credit (AOTC)
- Child Tax Credit (CTC)
- Additional Child Tax Credit (ACTC)
- Credit for Other Dependents (ODC)
- Head of Household
- Due diligence requirements under IRC Sections 6695(g) and 1.6695-2(b)
- Form 8867, Paid Preparer's Due Diligence Checklist
- Documenting inquiries and record retention
- IRS Letters
- Letter 5025
- Letter 4858
- Letter 5364
- Penalties and sanctions
- Due diligence audit process
- IRS Publication 4687, Paid Preparer Due Diligence
- Best practices
The panel will review these and other critical issues:
- What steps should a tax practitioner take when Letter 5025 or 4858 is received?
- How does a tax professional document compliance with Section 6695(g) and the related regulations?
- What specifically needs to be done to ensure the due diligence requirements for the earned income credit are met?
- What should tax advisers do now to prepare for a potential due diligence examination?
Josie Harris-Walton, Esq.
The Walton Firm
Ms. Harris-Walton serves as the Chief Executive Officer and Tax Attorney of the Walton Firm. She is an accomplished... | Read More
Ms. Harris-Walton serves as the Chief Executive Officer and Tax Attorney of the Walton Firm. She is an accomplished attorney with an illustrious reputation in tax law, Ms. Harris-Walton is affectionately known as the "TaxPros Attorney." She is renowned for her innovative TaxPros Concierge framework, a solution that ensures tax professionals remain in compliance with the IRS and tax laws, granting them relief for any legal entanglements or imprisonment. Ms. Harris-Walton's educational background is just as impressive, holding a Master of Law in Taxation (LL.M. in Taxation) from DePaul University School of Law. Driven by her passion and dedication to helping tax professionals and businesses resolve complex tax and corporate issues have made her a trusted advisor in the industry. With more than a decade of experience in the legal profession, Ms. Harris-Walton has garnered accolades for her expectational skills, unwavering attention to detail, and client-focused approach. She strives to guide her clients through the intricates of tax and corporate law. Ms. Harris-Walton is committed to helping her clients navigate the often complex and challenging world of tax and corporate world with ease and confidence.Close
Melinda Tolbert, EA
President and CEO
MJ Tolbert Tax Audit Group
Ms. Tolbert, who specializes in taxation, has been a successful tax practitioner for over sixteen years and recently... | Read More
Ms. Tolbert, who specializes in taxation, has been a successful tax practitioner for over sixteen years and recently earned the highest credential the Internal Revenue Service awards. Enrolled Agents are federally authorized to represent taxpayers before the IRS and, like CPAs and Attorneys, have unlimited representation rights.Close