If a Client Has Violated Federal Tax Laws

question 60

Multiple Choice

If a client has violated federal tax laws,

• A) the auditor must notify the IRS.
• B) and the amount is significant, the auditor should communicate with those charged with governance.
• C) the noncompliance generally will not impact the financial statements.
• D) the auditor does not need to evaluate the effects of the noncompliance on other aspects of the audit.

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