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Due Diligence: Challenges Facing Paid Return Preparers

Your Course Price: N/A
CPE Credits
Advanced Preparation
Course Level
Basic to Intermediate
Knowledge of Federal Income Tax law and tax preparation rules
Paul La Monaca CPA, MST
Course Description

CPE: IRS 2 Federal Tax Law Topics/ CTEC 2 Federal Tax Law/ NASBA 2 Taxes

This course discusses the details requiring compliance with §6695(g) “failure to be diligent in determining eligibility for certain tax benefits”. §6695(g) is the reason why “paid return preparers” must fill out and file Form 8867 “Paid Preparer’s Due Diligence Checklist”. The course walks through the Form 8867 and provides a hand’s on approach to reporting the proper answers to the specific questions related to the §2(b) Head of Household filing status, §24 Child Tax Credit, Additional Child Tax Credit and the Credit for Other Dependents (Other Dependent’s Credits: ODC).

In addition, the course reviews the specific questions related to the §25A American Opportunity Credit and §32 Earned Income Tax Credit as well as the general questions on due diligence.

The course discusses the issues with a paid return preparer’s failure to comply as well as the consequences of not meeting the due diligence requirements. The course addresses the IRS’s auditing for due diligence and the monetary consequences of noncompliance. The presentation will review Treasury Decision 9842 which are the final regulations which includes the specific examples of the due diligence requirements in Reg. §1.6695-2(a)(2).

Learning Objectives

At the conclusion of this presentation, tax return preparers will have a better understanding of the specific questions being asked on Form 8867 “Paid Preparer’s Due Diligence Checklist” and will have reviewed the examples in the final regulations. In addition, the attendee will have a better understanding of what information they need to have in their possession in order to be able to show an Auditor that they used due diligence in determining the “eligibility for certain tax benefits” and used due diligence in “properly calculating the amount of the tax benefit”.


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Your registration confirmation will be emailed to you when your payment is processed. During our busy season, this can take up to 2-3 business days after we receive your registration.

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Yes. If you have a PTIN on file with us, we will submit your hours. To insure we have your correct info, please provide your PTIN when you register for a course. Please notify us if you have recently submitted a name change request to the IRS.

Your certificate will be emailed to you within 10 business days of the completion of the course.

  • Once your registration confirmation is emailed, due to the proprietary materials and content of orders are NOT ELIGIBLE for refund, cancellation, or transfer to another NSTP course.
  • materials and presentations are intended to stimulate thought and discussion and to provide attendees useful ideas and guidance in the areas of federal taxation and administration. These materials as well as the comments of the instructors do not constitute and should not be treated as tax advice regarding the use of any tax procedure, tax planning technique, device or suggestion, or any of the tax consequences associated with them.
  • Although the NSTP has made every effort to ensure the accuracy of the materials and the seminar presentation, neither the author, the presenter nor the National Society of Tax Professionals assumes any responsibility for any individual’s reliance on the written or oral information presented during the presentation. Each attendee should verify independently all statements made in the materials, and during the seminar presentation, before applying them to a particular fact pattern and should determine independently the tax and other consequences of using any device, technique, or suggestion before recommending the same to a client or implementing the same on behalf of a client, or on the attendee’s own behalf.
  • materials & presentations are fully protected under copyright law. Any attempt to copy for resale, distribution, or use other than personal use for tax preparation will be fully prosecuted of the law.
Testing Policy
  • require a test for CPE. 3 attempts are allowed.
  • You have 1 (one) year from date of purchase to complete the course by taking the test.
More Information For more information regarding refund, cancellation, and complaint policies, please contact our offices at 1(800) 367-8130.