CPA Liam discovers that last year's Form 1120 for his client PollCo claimed a $100,000 advertising deduction for a gift to candidates of the Green Party. AICPA tax ethics rules require that an amended return immediately be filed because political expenditures are not deductible.

Question

Quizplus · Accepted Answer

AICPA tax ethics rules require that the CPA advise the client of the error and the consequences, but the decision to file an amended return rests with the client, not the CPA.

CPA Liam Discovers That Last Year's Form 1120 for His