Your Client Claimed Seven Children as Dependency Exemptions on His

question 27

Multiple Choice

Your client claimed seven children as dependency exemptions on his tax return last year.You now have learned that the client only has three children,of which only two qualify as dependents.You have advised your client to amend his prior-year tax return to correct for this error,but your client has refused to do so.However,your client has agreed to only claim the proper number of dependency exemptions during the current and future years.You:

• A) Have a duty to resign and a duty to inform your client about the tax penalties associated with the commission of tax fraud
• B) Have a duty to inform the IRS about the errors in your client's prior-year return and may do so anonymously
• C) Have a duty to inform your client about tax fraud penalties, but do not have a duty to resign
• D) Have a duty to inform your client to contact an attorney to discuss the consequences of committing tax fraud, and should consider resigning

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Definitions:

Market Presence

The extent to which a company or product is recognized, available, or influential in the marketplace.

Servant Leadership

A leadership philosophy which emphasizes the leader’s primary role as serving the needs of their team members, prioritizing their development and well-being.

Leadership Skills

Abilities that enable an individual to guide, influence, or direct a group towards the achievement of goals.

Organizational Performance

A measure of how efficiently and effectively an organization meets its objectives, often evaluated through financial results, productivity, and quality improvements.