1. For each independent situation, indicate which section, if any, the practitioner has violated under Circular 230.
   1. The practitioner found an error on a clients prior year return. The practitioner advised the client of the consequences of the error but did not report the error to the IRS.
   2. The practitioner reviews a new clients prior year return and notes a number of areas where it appears the new client did not take all the deductions she would be entitled to. The practitioner proposes a contingent fee structure based on a percentage of the tax savings from any new deductions the practitioner identifies. This fee structure would apply to the current year return and an amended return for the prior year.
   3. In a local advertisement, the practitioner includes a statement that his initial consultation fee is $50 and he charges between $100 and $500 for a Form 1040 including a Schedule A for itemized deductions.
   4. A clients prior return preparer was suspended from practice before the IRS. The prior preparer completed the clients Schedule C. The new practitioner uses the Schedule C as mpleted by the prior preparer in finishing the clients current tax return"