Changes in law that could result in amended returns. A tax return preparer may use tax return information to contact taxpayers to inform them of changes in tax law that could affect the income tax liability on the taxpayers' returns that were previously prepared or processed by this tax preparer. The preparer could use client tax return information to identify affected taxpayers, inform them regarding the change in tax law, advise whether it would be appropriate for them to file amended income tax returns, and assist in the preparation and filing of any amended returns.

Accountant (or lawyer) seeking to give compliance advice. A tax return preparer who is also an accountant may use tax return information to determine who might be affected by a prospective tax rule change in order to contact potentially affected taxpayers for whom the accountant/preparer reasonably expected to provide accounting services in the next year. The preparer may contact these taxpayers about the change, explain how the change may affect them, and advise them with regard to actions they may take in response to the change. If the taxpayer has told the preparer that he will not be using the preparer's services next year, then the preparer cannot contact taxpayer with respect to these prospective changes. 

Disclosure of taxpayer list to auxiliary service provider. Finally, tax return preparers may disclose their taxpayer lists to a third party service provider holding itself out as providing services that include creation, publication, and distribution of newsletters, bulletins, or similar communications to taxpayers whose tax returns the tax return preparers have prepared or processed containing tax information and general business and economic information or analysis for educational purposes or for purposes of soliciting additional tax return preparation services for the tax return preparer.

We will continue to follow this topic and communicate any changes or updates to you as they become available.

 

Julie S. Tucek
AAM President