Mr. JY, a commercial artist, engaged Mr. DE, a local attorney, to prepare his income tax return.
Question:
a. Is Mr. JY liable for payment of the $8,900 tax deficiency plus interest?
b. Could the IRS impose a negligence penalty on Mr. JY?
c. Could Mr. DE be penalized because of the error made in preparing Mr. JY’s income tax return?
d. Would your answer to the preceding questions change if Mr. DE were Mr. JY’s brother-in-law, who prepared the return as a favor rather than for compensation?
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Related Book For
Principles Of Taxation For Business And Investment Planning 2016 Edition
ISBN: 9781259549250
19th Edition
Authors: Sally Jones, Shelley Rhoades Catanach
Question Posted: