irs agent's request

[ardi600]

an irs agent has requested me to provide him with information I relied on to prepare a client's tax return. the client is being audited. the letter he faxed is basically requesting the info and says this request is made under the authority of section 7602 of irs code.
I have never had such a request. he says I have to provide the info even if I don't have a disclaimer or a signature from the client.
so if irs is asking for tax return info, I would not have to have consent or signature to release the info to the irs?
also, there are some info that were acquired after the I received client's doc(fax) by talking to him over the phone. how do I document that?
what is my duty as preparer in this case? since this is my first experience in all these years, is that a red flag for me?

[Snaggletooth]

They have the authority, but...

This section gives the IRS broad powers to compel third parties to surrender their information.

However, there is no regulation forcing you to become the storehouse of client source documentation and accounting
records. We should all take the position that all accounting records and retention of same be in the custody of our
clients.

Unless, of course, we are keeping the accounting records, as may be the case if we are performing bookkeeping
services.

My typical notes are transcriptions of information returns, and summary records of revenue and expense. If they
ordered me to surrender records, this is all I would have. I do have a few bookkeeping customers, and would have
to furnish more should they require.

[taxea]

What info is he asking for? Make sure he provides you with a list of specific items and why he needs them. He is not allowed to go fishing.
Then read Cir 230 which gives you information on what is required of you. Confidentially means that preparer cannot discuss client info with anyone excluding the IRS.

[ardi600]

he is asking for

documents that I relied on to prepare the return. also, he is asking how do i know the client and how long have i prepared his returns. i have a record of revenue and expenses, but there are other items which were discussed over the phone that are not on the paper he faxed me. i guess i will fax the info i received from him and also mention that there are also other info which i gathered by talking to my client over the phone.

[RightOn]

Based on what I read on this board, it seems to me the IRS agents are getting more often to contact the tax preparer for tax information of a taxpayer that they are auditing and the details about the process that the tax returns have been prepared. Is it a trend?

[DaveO]

I have never turned over my work papers. On request I have provided the details of how I mapped the information from the clients records onto the various forms. My personal notes and obversations are mine however and would only be subject to discovery under a court order.