What Sort of Liability Does an Accountant Have Under the Securities

question 69

Multiple Choice

What sort of liability does an accountant have under the Securities Exchange Act of 1934?

• A) Criminal liability where there is a willful violation.
• B) Civil liability where there is scienter.
• C) Both of these are correct.
• D) Neither of these is correct.

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Definitions:

Income Tax Return

The form or forms used to report income to a federal, state, or local tax authority and to calculate taxes owed.

Form W-3

The transmittal form used to submit information on total wages paid and taxes withheld from all employees' wages to the IRS, accompanying the W-2 forms.

Wage Income

Earnings received by an employee as a result of their employment, typically in the form of a salary or wages.

Marginal Tax Rate

The rate at which the last dollar of income is taxed, representing the rate that applies to each additional dollar of income, important for financial planning and decision-making.