In this detailed course on the Earned Income Tax Credit (EITC), tax professionals will benefit from a thorough exploration of the EITC eligibility rules, an area that affects a significant portion of tax returns in the United States. The course offers the dual benefits of identifying common EITC errors and equipping you with strategies to avoid them, thereby enhancing your proficiency and reliability as a tax preparer. It delves into the crucial aspect of EITC due diligence, empowering you with knowledge about the specific requirements and record-keeping practices necessary for supporting EITC claims. Additionally, the course highlights the potential penalties and employer sanctions associated with EITC non-compliance, ensuring that you are well-versed in all aspects of EITC regulations. By the end of this course, you will not only have a comprehensive understanding of the EITC process but also the skills to apply this knowledge effectively in your professional practice, thereby increasing your value to clients and enhancing your credibility in the field.
SOI Tax Stats-Individual Income Tax Returns may be accessed at: http://www.irs.gov/uac/SOI-Tax-Stats-Historical-Table-1.
Learning Objectives
Upon successful completion of this course, participants will be able to:
Chapter 1
Identify the earned income tax credit eligibility rules that apply to all taxpayers, including taxpayers who have a qualifying child and taxpayers without a qualifying child
List the most common earned income tax credit errors and their potential problem areas
Identify the additional questions tax preparers need to ask if taxpayer-provided information appears incorrect, inconsistent, or incomplete
Chapter 2
List the due diligence requirements a tax return preparer must meet when preparing a tax return claiming the earned income tax credit
Identify the records a tax return preparer is required to keep to support a client's claim for the earned income tax credit
Identify the penalties that may be imposed on a tax return preparer for failing to comply with due diligence requirements when preparing a client's tax return claiming the earned income tax credit
Cite the sanctions that may be imposed on an employer whose employee fails to comply with EITC due diligence requirements
Identify the additional requirements imposed on taxpayers claiming the EITC following disallowance and the exceptions to those requirements
Major Topics
Earned Income Credit Rules
Due Diligence Requirements
EIC Disallowance
