EA EXAM PART 3 WITH FULL PACK
SOLUTIONS
, Form 8867 - correct answers-Paid Preparer's Due Diligence Checklist. Includes new
questions for both the Head of Household filing status and the new Credit for Other
Dependents. Retroactive! (for HoH anyways)
Penalty for failure to meet due diligence requirements - correct answers-$520 per failure
New Requirements for Child Tax Credit/Additional Child Tax Credit - correct answers-
Child must have SSN (ITIN or ATIN works for ODC)
Time to file claim for wrongful levy or seizure - correct answers-two years
Passport Revocation - correct answers-The IRS has to notify the US dept. of state of
taxpayers who owe a seriously delinquent tax debt. They can then revoke or deny
passport. The threshold for 2018 is $52,000
Centralized Audit Regime - correct answers-Mandatory for partnerships above 100
partners. (100 or fewer can elect out of this new regime). If anything is adjusted, it is
assessed and collected at the partnership level (instead of going after individual
partners)
Title 26 - correct answers-Internal Revenue Code - main body of tax law of the United
States
Title 31 - correct answers-FinCEN and FBAR - International financial reporting laws
Primary Authority - correct answers-the law itself, Internal Revenue Code
Substantial Authority - correct answers-Can serve as basis for interpretation of current
tax law and to establish precedents for the future.
1. Treasury Regulations
2. Revenue Rulings
3. Revenue Procedures
4. Private Letter Rulings
5. Technical Advice Memoranda (TAMS)
6. IRS Notices
Treasury Regulations - correct answers-The official interpretation of a statutory tax rule
written and published by the U.S. Treasury. Published in the Federal Register.
Types of Treasury Regulations - correct answers-1. Legislative Regulations
2. Interpretive Regulations
3. Procedural Regulations
Who is bound by IRS regulations? - correct answers-The IRS (the courts are not)
Classification of Treasury Regulations - correct answers-Proposed
SOLUTIONS
, Form 8867 - correct answers-Paid Preparer's Due Diligence Checklist. Includes new
questions for both the Head of Household filing status and the new Credit for Other
Dependents. Retroactive! (for HoH anyways)
Penalty for failure to meet due diligence requirements - correct answers-$520 per failure
New Requirements for Child Tax Credit/Additional Child Tax Credit - correct answers-
Child must have SSN (ITIN or ATIN works for ODC)
Time to file claim for wrongful levy or seizure - correct answers-two years
Passport Revocation - correct answers-The IRS has to notify the US dept. of state of
taxpayers who owe a seriously delinquent tax debt. They can then revoke or deny
passport. The threshold for 2018 is $52,000
Centralized Audit Regime - correct answers-Mandatory for partnerships above 100
partners. (100 or fewer can elect out of this new regime). If anything is adjusted, it is
assessed and collected at the partnership level (instead of going after individual
partners)
Title 26 - correct answers-Internal Revenue Code - main body of tax law of the United
States
Title 31 - correct answers-FinCEN and FBAR - International financial reporting laws
Primary Authority - correct answers-the law itself, Internal Revenue Code
Substantial Authority - correct answers-Can serve as basis for interpretation of current
tax law and to establish precedents for the future.
1. Treasury Regulations
2. Revenue Rulings
3. Revenue Procedures
4. Private Letter Rulings
5. Technical Advice Memoranda (TAMS)
6. IRS Notices
Treasury Regulations - correct answers-The official interpretation of a statutory tax rule
written and published by the U.S. Treasury. Published in the Federal Register.
Types of Treasury Regulations - correct answers-1. Legislative Regulations
2. Interpretive Regulations
3. Procedural Regulations
Who is bound by IRS regulations? - correct answers-The IRS (the courts are not)
Classification of Treasury Regulations - correct answers-Proposed
