Estate Taxes Student Name University Affiliation In order to understand the ethics in tax preparation and AICPA Code(s) of Professional Conduct rules, the essay will answer 4 questions based on estate tax case study. The discussion below highlights some of the application of ethics and principles in practice. 1. Under Circular 230, does Charles have any responsibility to inform the widow that she is being significantly overcharged by the attorney? Be sure to cite research that supports your position. Based on the difference between the fair charge, 3 to 5 percent, and the actual rate charged, 17%, by attorney to handle Clara’s estate work, it is clear that the fee was unreasonable. As such, the CPA has moral and statutory …show more content…
Firstly, the CPA is required to apply integrity when handling the estate tax work. In particular, the practitioner should be honest and candid in addressing the overcharge to the client since he is aware it exists even though it means going against the confidentiality about the attorney intent to profit from a widow (Rice, n.d.). Secondly, the practitioner needs to apply objectivity and independence in preparation of the estate work. This emanates from that if Charles considers the welfare of the attorney and his opinions on overcharge he may end up compromising the integrity rule. Therefore, he needs to be independent and objective to the right thing (Comparing the Ethics Codes: AICPA and IFAC, 2010). Moreover, the CPA is required to be responsible to ensure that all the rules in tax preparation are adhered to in his/her practice (AICPA Professional Ethics for CPA 's Contact Information, n.d.). Hence, Charles is responsible for informing the client about the overcharge as that is his role as a Certified Public …show more content…
Moreover, it goes against the bible to exploit people in need. References AICPA Professional Ethics for CPA 's Contact Information. (n.d.). Retrieved October 12, 2016, from http://www.cpaboard.wa.gov/individual-licensing/get-your-first-cpa-license/aicpa-professional-ethics-cpas-contact-information Blaise M. Sonnier, J.D., DBA. (2012). Circular 230: Its Day-to-Day Impact on Tax Practices. Retrieved October 12, 2016, from http://www.thetaxadviser.com/issues/2012/feb/tpr-feb12.html Circular 230 Tax Professionals. (n.d.). Retrieved October 12, 2016, from https://www.irs.gov/tax-professionals/circular-230-tax-professionals Comparing the Ethics Codes: AICPA and IFAC. (2010). Retrieved October 12, 2016, from http://www.journalofaccountancy.com/issues/2010/oct/20103002.html Ethics for Tax Return Preparers - media.straffordpub.com. (n.d.). Retrieved October 12, 2016, from http://media.straffordpub.com/products/ethics-for-tax-return-preparers-2012-08-28/presentation.pdf Rice, B. (n.d.). AMERICAN INSTITUTE OF CERTIFIED. Retrieved October 12, 2016, from
Andrea’s second option is to inform the limited partners about how misrepresentations of Skyline Views’s financial statements are permitting Ed to claim a higher management fee; this decision will fulfill her due diligence obligation to the limited partners while maintaining her integrity as a certified public accountant in supporting the American Institute of Certified Public Accountants Code of Professional Conduct. After informing the limited partners, it would not be her responsibility as the limited partners would choose a necessary course of action against
Thank you for contacting the Ethics Committee regarding Mrs. Mitsue Takahashi’s healthcare plans. As you are aware, 83 year old Mrs. Takahashi was recently admitted to the hospital immediately following a stroke. Through looking at her past medical history and running various tests, it was apparent that she suffers from several serious medical complications. Notably, she suffers from dementia which makes it impossible for her to make autonomous decisions concerning her healthcare. Despite poor prognoses from neurology, cardiology, and psychiatry consultations, the patient’s two grandchildren disagree over the next step in their grandmother’s healthcare. You have recommended to the family to have a DNR order written, withhold aggressive cardiac
“The Inheritance of My Father: A Story for Listening” comments on the issues of family ties, identity and belonging in relation to hybridization. Roemer’s purpose involves the highlighting of the relationship between finding one’s identity and finding one’s voice. He achieves this by allowing the readers to embark on a journey of self-discovery with the child narrator Bonkoro, who changes from a docile, almost voiceless “child” before the summer vacation to a renewed, confident and articulate “adult” at the end of her vacation. This short story is a unified and coherent production since several aspects of Roemer’s craft testify to the intimate interrelation of finding one’s identity and one’s voice. Roemer emphasizes the theme of self-discovery
Tax law changes every year. Laws are updated, loopholes are blocked and other modifications are generated. A few of these changes affect essentially each of the wage earners while others could impact primarily small businesses or higher-income taxpayers.
As stated earlier, all laws and rules have loopholes; you just have to know what to look for. The saying “all laws are meant to be broken” is evident in the above cases. The Code of Professional Conduct has rules and guidelines for CPAs to follow while in practice. Those who do not follow the Code sometimes get away with it, but in other cases they do not. That is when offenders come before the State Board and the Board’s members decide how to handle the violation. In some cases, the penalty matches the violation and in some cases they do not. Either way all CPAs should try their best to follow the Code so that the public’s confidence in them is not tainted.
Patients seek medical attention from the nursing homes. There nursing homes get a large amount of financial aid on behalf of the government. The financial assistance is given in order to ensure that all the necessary health care facilities are available at the nursing homes. There are few fraud cases that have seemed to occur in the nursing homes. One of the fraud cases that is becoming very common in nursing homes is that the patients are charged wrong amounts for the services that they acquire from the nursing home. The patient generally comes with some disease to seek medical attention. The nursing home raises fraud cases by advising unnecessary tests and procedures to be done on the patients. These tests or procedures may not be required for the patient. As the patient is limited in knowledge, the tests and procedures are done on the patient while charging the patient with a heavy amount of bill. (LLP, 2016) The nursing homes does not cater the specific problems that ha been raised by the patient rather they start to encounter on more details that are unnecessary and not even needed by the patient. The case is about a nursing home in Washington that charges heavy amounts to the patient for unnecessary treatments and procedures. (PEAR,
...ncil from reading 1, in this case we see a London council attempting to fulfill an inpractical fee reduction on orders from Government. Both asides are held to account.
In many cases, an account can't be closed until the estate is settled in probate court.
Tax Law and Accounting In today's society, income taxes are something that almost everyone is familiar with. However, the tax law and general purpose of income taxes is something in which the general society gives little thought. In addition, few tax preparers are aware that differences exist between the Generally Accepted Accounting Principles (GAAP) and tax accounting, not to mention the ramifications of avoiding or evading to properly complete the reporting of income taxes. This paper will discuss the objectives of modern tax law, the differences between Generally Accepted Accounting Principles (GAAP) and tax accounting, as well as the differences between tax evasion and tax avoidance.
If I were to accept Mustapha’s reimbursement claim as it is, knowing very well that the claim is not all correct (as confessed by Mustapha), I would thus, be in violation of the following IMA standards of ethical responsibilities: -
The discussion of any difference between the author’s views and the requirements of the code of ethics gives some reasons why the personal views and the requirements of the code are different or similar and credibly generalizes this understanding to ways in which personal and professional ethics are similar, and ways in which they are different (2 marks)
Based on the information provided, our firm suggests the following actions for Mr. Campbell’s case. If Mr. Campbell were to accept Allied Insurances counteroffer at $400,000.00 no further action would be necessary, however if Mr. Campbell rejects the counteroffer, the decision would have to be settled in court by a jury. If John were to make a counteroffer of $600,000.00, it would be advantageous of Allied Insurance to accept this counteroffer.
If you are considering purchasing a family vacation home, and want the home to stay in your family even after you pass away, you need to take into consideration estate planning issues and laws before you purchase your vacation home. Here are three estate planning issues you need to take into considering while you go through the process of purchasing a family vacation home.
"Accountants." WISCareers. University Of Wisconsin System Board of Regents, 2009. Web. 20 Nov. 2009. .
The Estate Tax, known as the ‘death tax’ as well as the ‘anti-birth tax’, has been one of the most controversial parts of the United States tax code since its introduction in 1916 (Cagetti & De Nardi, 85). The estate tax is a tax imposed upon assets transferred at the time of the estate holder’s death. Those opposed have named it the “death tax” as they claim it hurts business activity as well as job creation. However, according to those in favor, the estate tax is an effective way to tax the richest few, and redistribute their wealth, thereby narrowing the gap of inequality. For those in favor, an abolition of the estate tax would impose a “birth tax” of sorts onto the majority of Americans who have not inherited a large sum of money (Cagetti & De Nardi, 87). The controversial estate tax in the United States is often questioned by many and has been challenged time and time again. However, more emphasis has typically been put on particular aspects of the tax code where points of dispute are found.