In the beginning of the season I was all raring to go but when I started doing the returns I got bogged down and I'm sure I didn't fill out the proper documentation. Didn't realize how long it took to do the paperwork. If you got a EIC audit, how well would you do?
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EIC Audit
We don't do very many EIC returns.
We do have a few--a very few--that are a bit complicated, i.e., cases where the qualifying child is a sister or grandchild, or something like that. In those cases, I don't know whether the IRS would challenge our records or documentation.
Most of the EIC returns we do are open and shut cases: a married couple claiming their own children. I'm not saying we don't have to ask any questions in those cases. Of course we do. I always ask, "Are you the biological father? Are you the biological mother? Did the children live with you all year?" If the answers are yes, we are done. In these cases, I don't think we need to ask for documentation such as birth certificates, school records, or anything else. That's a bunch of b**ls**t. On this fact pattern, there is no one else who could possibly claim the children. I believe we can take what the client says at face value.
I might ask one or two more questions if the child has a different last name. But that usually means that one of the parents is a step-parent, and the kid is still a qualifying child.
If it's a new client, yes, I like to see the social security cards. But if they don't have them, that's not a deal breaker. I will usually accept last year's return...
BMKBurton M. Koss
koss@usakoss.net
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The map is not the territory...
and the instruction book is not the process. -
I would complete an EIC audit with either a 0.00% correct, 33-13% correct, 66-2/3% correct, or 100% correct outcome. No question about it"The only function of economic forecasting is to make astrology look respectful" - John Kenneth GalbraithComment
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EIC Audit
It sounds like you have three preparers at your firm, and each of them did 100 EIC returns...Originally posted by JohnH View Post
BMKBurton M. Koss
koss@usakoss.net
____________________________________
The map is not the territory...
and the instruction book is not the process.Comment
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Since I don't do due diligence, I would not fare too well on an EIC audit. But,then, I don't do EIC returns, so I guess I'm safe.Comment
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