Which of the following is CORRECT about a CPA's responsibility with regard totax return positions under Statements on Standards for Tax Services No. 1 (SSTS No. 1)?
A)A CPA may not base his or her position on authority that is not approved by the IRS under Section 6662 (accuracy-related penalty).
B)A CPA may sign a return which has a tax position that has a realistic possibility of being sustained on the merits.
C)A CPA may not sign a return which has any tax position that is not fully disclosed.
D)All of these are correct.

Question

Quizplus · Accepted Answer

SSTS No. 1 allows CPAs to sign a tax return that includes a position with a realistic possibility of being sustained on its merits, indicating that the position has a one-in-three or greater likelihood of being upheld if challenged.

Which of the Following Is CORRECT About a CPA's Responsibility