Question

9. What are some of the ethical duties that apply to tax return preparers?

10. What are some of the ethical duties that apply to accounting professionals engaged in tax planning?

Answer 1

9. Ethical Duties Applicable to Tax return Preparer

Ans:

1.TRP shall affix signature on the return prepared by him.

2.TRP he shall for furnish in the return that all the information provided to him by assesse.

3.He shall not engage in financial irregularity or forged activities.

4.He shall not claim refund in a fraudulent manner.

5.He shall not understate income or tax liability.

6.He has to upgrade his skills and competence according to taxation authorities.

7.He has to comply with relevant legislative requirements while filing a return.

8.TRP has to give a copy of return to assesse.

10.Ethical duties applicable to Accounting professionals engaged in tax planning.

Ans:

1.They have to maintain integrity, objectivity and confidentiality.

2.Accounting professionals have to record, classify and summarize transactions and events for the preparation of financial statements.

3.They have to derive correct profits to file return of income based on such profits.

4.They have to update records to furnish to taxation authorities as and when required.

5.They shall not compute wrong profits which results in tax evasion.

6.They have to prepare financial statements so as to provide information required to file tax returns according to due dates.

7. They shall not record false transactions or events without proper evidence.