Standards of Conduct

Question 1

What is the difference between an unethical decision and a decision that was based on lack of knowledge?

Answer 1

The difference is that an unethical decision is a decision where the person is aware of the decision they are making whereas a decision made without knowledge is a mistake due to lack of knowledge.

Question 2

What is the first volunteer standards of conduct?

Answer 2

Follow the Quality Site Requirements (QSR).

Question 2

1 Quality Standard Requirement?

Answer 2

Certification, all volunteers must pass the volunteer standards of conduct test with a score of 80% or better.

Individuals also must pass the Intake/Interview and Quality review certification test with a score of 80% or higher.

Question 3

2 Quality Standards Requirement?

Answer 3

Form 13614-C (Intake/Interview & Quality Review Sheet) must be completed by a volunteer before preparing a tax return. All volunteers must fill out the shaded grey areas that state “To be completed by a Certified Volunteer Preparer”.

Every site should ensure that a complete Quality Review Process is used to confirm that the tax law correctly applied, and that the tax return is free from error, based on the taxpayer interview and the available supporting document.

Question 4

3 Quality Site Requirement

Answer 4

Confirming photo identification and taxpayer identification number (TIN). There must be a process for confirming the taxpayer’s identity prior to preparing the tax return and prior to the VITA/TCE return being signed.

Question 5

4 Quality Site Requirement

Answer 5

All sites are required to have these 4 forms available to the VITA/TCE volunteers in paper or electronic form:

1. Publication 4012, Volunteer Resource Guide
2. Publication 17, Your federal income tax for individuals.
3. Publication 4299, Privacy, Confidentiality, and Civil Rights – A public trust.
4. Volunteer Tax Alerts (VTA) and Quality Site Requirement Alerts (QSRA) or CyberTax Alerts issued by Tax-aide.

Question 6

5 Quality Site Requirement

Answer 6

Volunteer agreement. After passing the Volunteer Stands of Conduct, volunteers must sign the document conveying their intent to volunteer. Prior to beginning, form 13615 must be signed by the site coordinator. The site coordinator must validate the volunteer’s ID and the name must match the name used on the tax slayer software.

Question 7

6 Quality Site Requirement

Answer 7

Timely filing, all coordinators must have a process in place to ensure every tax return is timely electronically filed or delivered to the taxpayer.

Question 8

7 Quality Site Requirement

Answer 8

Civil rights, all taxpayers must have access to information on the Civil Rights Act of 1964.

Question 9

8 Quality Site Requirement

Answer 9

Correct Site Identification Number (SIDN), it is critical that the correct site identification number is on each tax return.

Question 10

9 Quality Site Requirement

Answer 10

The correct Electronic Filing Identification Number is reported on each tax return. (EIFN)

Question 11

10 Quality Site Requirement

Answer 11

Sites must follow all security, privacy, and confidentiality guidelines outlined in publication 4299. This form must be referenced throughout tax returns as issues arise.

Question 12

2 Volunteer Standard of Conduct

Answer 12

Do not accept payment, solicit donations, or accept refund payments for federal or state tax return preparation for customers.

Question 13

What should you do if a customer offers you payment?

Answer 13

Give a smile, and say “thank you, but we cannot accept payment for our services.”

Question 14

Can taxpayers make donations?

Answer 14

Yes, taxpayers can make donations to the sponsoring organization but not in the tax preparation area.

Question 15

What to do if a taxpayer insists on supplying payment for your services?

Answer 15

Suggest cookies or donuts for the site.

Question 16

Can tip jars be placed at a site?

Answer 16

Yes, as long as the tip jar does not give the impression that the site is collecting funds for return preparation. It cannot be placed in the entry, waiting, quality review areas, or tax preparation areas.

Question 17

Should taxpayer’s state of federal tax return refund be deposited into any volunteer’s bank?

Answer 17

No, the volunteers (VITA or TCE) should not request for the refunds to be deposited into their account. Volunteers should only request refunds to be direct deposited within the taxpayer’s account.

Question 18

3 Volunteer Standard of Conduct

Answer 18

Do not solicit business from taxpayers you assist or use the information gained about them for any direct or indirect personal benefit for yourself or any other specific individual.

Question 19

What’s an example of violating a standard of conduct by using a taxpayer’s information for one’s own benefit?

Answer 19

Reviewing a taxpayer’s tax return and realizing that they ran out of life insurance a few months ago, so you offer them life insurance in order to boost your own sales.

Question 20

What is securing consent?

Answer 20

Securing consent is necessary when taxpayers allow for information obtained during the return may be used for other reasons than preparing returns in the future. In this instance, the site coordinator must have a process for securing consent from the taxpayers.

Question 21

What is an exception to the required consent that is necessary from taxpayers?

Answer 21

An exception to the required consent is when volunteer sites disclose the total amount of returns (refunds or credits) prepared at their site for fund-raising reasons, publicity, and marketing.

The exception does not enable sites to disclose dollar amounts of refunds, credits, percentages, or rebates.

Question 22

4 Volunteer Standard of Conduct

Answer 22

Do not knowingly prepare false returns.

Question 23

Why is it imperative that volunteers not bend the law in order to help a taxpayer?

Answer 23

It will cause more problems for the taxpayer down the road. It also causes distrust in the sponsoring organization as well as the IRS which may deter future taxpayers from wanting to deal with the IRS. In the end, the taxpayer would most likely pay more in taxes, penalties, and interest as a result of the volunteer’s actions.

Question 23

Why is it imperative that volunteers not bend the law in order to help a taxpayer?

Answer 23

It will cause more problems for the taxpayer down the road.

Question 24

Why may it be difficult for the taxpayer to pay the extra fees from the fraudulent return?

Answer 24

The taxpayer may never be able to full the amount of fees due as a result of the fraudulent return as they are low-income. This will lead them to go through the IRS collection process which can result in the individual’s credit score being lowered tremendously or garnishments on the individual’s wages or bank accounts.

Question 25

How does identity theft play a role in these returns?

Answer 25

Volunteers in the past have stolen SSN in order to file false returns and collect the individual’s refund(s).

Question 26

5 Volunteer Standard of Conduct

Answer 26

Do not engage in criminal, infamous, dishonest, notoriously disgraceful conduct, or any other conduct deemed to have a negative effect on the VITA/TCE program.

Question 27

Are unauthorized “aliens” allowed to work at VITA/TCE sites?

Answer 27

No, unauthorized “aliens” are not allowed to work at VITA/TCE sites.

Question 28

What are the consequences for a volunteer that involves themselves in egregious activities?

Answer 28

One consequence is that the volunteer will be barred from volunteering at VITA/TCE sites in the future and may be asked to join a registry of barred volunteers.

Question 29

6 Volunteer Standard of Conduct

Answer 29

Treat all taxpayers in a professional, courteous, and respectful manner.

Question 30

How should volunteers conduct themselves?

Answer 30

All volunteers are expected to conduct themselves in a professional, business-like, and diplomatic manner.

Question 31

How can stress build on a volunteer and how should that volunteer respond to the situation?

Answer 31

Volunteers may experience a high volume of taxpayers that need assistance. This can make patience run short, but volunteers must remain peaceful and maintain a friendly atmosphere.

Question 32

Which two groups of people require accommodations?

Answer 32

1. Individuals with disabilities may need accommodation to receive VITA/TCE benefits.
2. Individuals with limited english proficiency may need language assistance in order to receive the benefits of the program.

Question 33

What are some of the necessary due diligence actions that volunteers must make?

Answer 33

1. Taking a degree of caution and care reasonably exercised by a VITA/TCE volunteer.
2. Making sure that the identity and information on a tax return is accurate as well as confirming the identities of the taxpayer’s.
3. Helping the taxpayer understand meet their tax responsibilities.

Question 34

How should a volunteer to information provided by a taxpayer?

Answer 34

A volunteer should, in most cases, have good faith in the information that a taxpayer provides without needing documentation. Despite this, volunteers must ask questions to clarify information on a tax return. If the volunteer is uncomfortable then the volunteer should not prepare the return.

Question 35

What should a volunteer do if they are having doubts with a tax return?

Answer 35

1. Seek assistance from the coordinator.
2. Seek assistance from a tax preparer with more experience
3. Reschedule/suggest the taxpayer come back when a more experienced tax preparer is available.
4. Reference/research publications (Publication 17, Publication 4012, Publication 596 etc.)
5. Research www.irs.gov for the answer
6. Call the VITA/TCE hotline
7. Research the Interactive Tax Assistance (ITA) on www.irs.gov to address tax law issues.
8. Advise taxpayers to seek assistance from a professional taxpayer.

Question 36

Who is responsible for enforcing the VSC?

Answer 36

The sponsoring organizations, but the IRS is responsible for the oversight of the VITA/TCE program.

Question 37

How are the VSC enforced?

Answer 37

The standards are enforced through strict enforcement from IRS-SPEC. IRS-SPEC will advise the site for corrective actions. If the site does not make corrective actions, then the site could lose their relationship with IRS-SPEC. The site may also lose their grant.

Question 38

What should a volunteer do if an unethical situation rises?

Answer 38

They should report the situation using the external referral process (VolTax) by emailing WI.VolTax@irs.gov.

Question 39

What is the role of a volunteer in reporting questionable activity?C

Answer 39

Volunteers must report violations that raise substantial questions about another volunteer’s honesty, trustworthiness, or fitness as a tax preparer.

Question 40

Can volunteers be subject to criminal charges?

Answer 40

Any individual who knowingly prepares false returns is subject to criminal charges.

Question 41

What is the objective of the volunteer registry?

Answer 41

The objective of the volunteer registry is to inform IRS-SPEC employees of volunteers or partners that were removed from VITA/TCE programs. Persons on the registry are unable to volunteer at VITA/TCE programs indefinitely.

Question 42

What is the impact of one volunteer’s unethical decisions on the VITA/TCE program as a whole?

Answer 42

It can raise suspicions of the entire site as a whole, it may even lead to tax sites being closed which strip individuals of the community from having access to free tax preparation.

The impact on the VITA/TCE program may include:

1. Terminating the partnership between the IRS and the sponsoring organization.
2. Discontinuing IRS support.
3. Revoking or retrieving the sponsoring organization’s funds.
4. Deactivating IRS Electronic Filing ID Number
5. Removing all IRS products, supplies, and loaned equipment from the site.
6. Removing all taxpayer information.
7. Disallowing use of IRS logos.

Question 43

What happens after the return is completed?

Answer 43

The volunteer must discuss, dependents, filing status, income, adjusted gross income, credits, taxes, payments, and the refund or balance due with the taxpayer.

If the taxpayer has any additional questions regarding the return, the volunteer must assist the taxpayer or ask for help from the coordinator.

Question 44

What 2 statements are included in the disclosure of tax returns?

Answer 44

For the taxpayer: “Under penalties of perjury, I declare that I have examined this return and accompanying schedules and statements, and to the best of my knowledge and belief, they are true, correct, and complete.”

For the preparer: “Declaration of preparer (other than the taxpayer) is based on all information of which preparer has knowledge.”

Question 45

What is the final warning a volunteer must give to a taxpayer?

Answer 45

That the taxpayer is liable to perjury and must confirm that the information on the tax return is accurate to their knowledge.

Question 46

What is the Volunteer Protection Act?

Answer 46

The volunteer protection act is an act which generally protects volunteers from liability for negligent acts they perform within the scope of their responsibilities in the organization for whom they volunteer.

Question 47

Why was the Volunteer Protection Act created?

Answer 47

The act was created to support programs that support heavily on volunteer contributions. The act helps ease the minds of volunteers concerned about liabilities of volunteering which promotes more participation from individuals.

Question 48

Where to find information for resolving issues?

Answer 48

Page 20 of Form 4961.