Hey, welcome to VoraPrep Audio. Today's episode is from our EA Exam Strategy Masterclass: "The Ethics Minefield: Circular 230 on the EA Exam".
A client admits they hid cash income from the IRS. What do you do? If you say "Call the IRS," you just failed the question.
MarcusAva, Circular 230 questions are designed to catch well-meaning candidates who confuse ethical practice with acting as an IRS informant.
AvaThat is the number one trap in Part 3! Circular 230 section 10.21 says if you find an error, you must advise the client promptly and explain the consequences. But you can NEVER call the IRS behind their back.
MarcusYour duty of confidentiality to the client remains paramount. You tell the client to amend. If they refuse, you can withdraw from the engagement, but you do not blow the whistle.
AvaRemember that distinction, and you will score easy points across all of Part 3.
MarcusIf you want to put this exact strategy into practice with thousands of blueprint-aligned questions and an authentic exam simulator, head over to voraprep.com. Start your free trial today—no credit card required.
AvaSee you in the next masterclass.