1. This is a written statement made by a recognized representative that he or she is currently eligible to practice before the Internal Revenue Service and is authorized to represent the particular party on whose behalf he or she acts.
A.
"Power of Attorney and Declaration of Representative".
B.
"General Power of Attorney".
C.
"Declaration of Representative".
D.
All of the above.
2. A power of attorney which specifies that the appointment of the attorney-in-fact will not end due to either the passage of time )i.e., the authority conveyed will continue until the death of the taxpayer) or the incompetency of the principal (e.g., the principal becomes unable or is adjudged incompetent to perform his or her business affairs).
A.
General power of attorney.
B.
Durable power of attorney.
C.
Limited power of attorney.
D.
Both A and B above.
3. A power of attorney must contain
A. The
name, mailing address and the identification number of the taxpayer.
B. The
name and mailing address of the recognized representative and also a description
of the matter or matters for which representation is authorized.
C.
The employee plan number if applicable.
D.
All of the above.
4. A properly completed Form 2848 satisfies the requirements for
A. A
power of attorney.
B. A
declaration of representative.
C.
Both A and B above.
D.
The description of the matter for which the representation is authorized.
5. The Internal Revenue Service will not accept a power of attorney which fails to include.
A. The
name and mailing address of the taxpayer.
B. The
description of the matter for which representation is authorized.
C.
The identification number of the taxpayer such as the social security number
and/or employer identification number.
D.
Any of the above.
6. In the case of any matter concerning a joint return in which both husband and wife are not to be represented by the same recognized representative, the power of attorney must
A. Be executed by the spouse who is to be represented.
B. Be executed by the spouse who is not being represented.
C. Be performed with respect to a tax matter that the spouse being represented
cannot perform alone.
D.
Be executed by the officer having authority to legally bind any contracts.
7. In general, when a fiduciary is involved in a tax matter, a power of attorney is required.
True False
8. If no executor, administrator, or trustee name in the will is acting or responsible for disposition of the matter and the estate has been distributed to the residuary legatee(s)
A. No forms need to be filed by the residency legatee(s).
B. The estate has been distributed to the residency legatee(s), so the tax
determinations are final.
C. The Internal Revenue Service officials may require the submission of a
statement from the court certifying that no executor, administrator, or trustee
name under the will is acting or responsible for disposition of the matter,
naming the residuary legatee(s), and indicating the proper share to which each
is entitled.
D.
None of the above.
9. A power of attorney is required by the Internal Revenue Service when the taxpayer wishes to authorize a recognized representative to perform one or more acts on behalf of the taxpayer. The following is a situation in which a power of attorney is not required.
A.
Waiver offer and/or execution of either a waiver of restriction on assessment or
collection of a deficiency in tax, or a waiver of notice of disallowance of a
claim for credit or refund.
B.
Execution of a consent to extend the statutory period for assessment or
collection of a tax.
C.
Execution of a closing agreement under the provisions of the Internal Revenue
Code and the regulations thereunder.
D.
None
of the above.
10. A power of attorney is not required in the case of a trustee, receiver, or an attorney (designed to represent a trustee, receiver, or debtor in possession) appointed by a court having jurisdiction over a debtor.
True False
11. A new power of attorney revokes a prior power of attorney if
A. It contains a clause stating that it does not revoke such prior power of
attorney.
B. There is attached to the new power of attorney a copy of the unrevoked prior
power of attorney.
C. Granted by the taxpayer to another recognized representative with respect to
the same matter.
D.
There is attached to the new power of attorney a statement signed by the
taxpayer listing the name and address of each recognized representative
authorized under the prior unrevoked power of attorney.
12. A taxpayer may revoke a power of attorney without authorizing a new representative by filing a statement of revocation with those offices of the Internal Revenue Service where the taxpayer has filed the power of attorney to be revoked. The statement of revocation must
A. Be filed in the office of the Internal Revenue Service where the recognized
representative will represent his or her client.
B. Indicate that the authority of the first power of attorney is revoked and
must be signed by the taxpayer.
C. Show a copy of the first power of attorney and must be signed by the new
recognized representative.
D. List the name and address of the new recognized representative given the
authority to replace the revoked representative.
13. Permission to by-pass a recognized representative and contact a taxpayer directly does not automatically disqualify an individual to act as the recognized representative of a taxpayer in a matter. However,
A. Such information needs to be recorded on the CAF system.
B. Such information may be referred to the Director of Practice for possible
disciplinary proceedings.
C. Such matters fall under consideration by the Internal Revenue Service.
D.
The recognized representative may be rejected based on this transgression.
14. Information from both powers of attorney and tax information authorizations is recorded onto the CAF system. Such information enables Internal Revenue Service personnel who do not have access to the actual power of attorney or tax information authorization to
A. Determination whether a recognized representative or a designee is authorized
by a taxpayer to receive and/or inspect confidential tax return information.
B. Determine, in the case of a recognized representative, whether that
representative is authorized to perform the acts set forth in section 601.504
(a).
C. Send copies of computer generated representatives or a designee so authorized
by the taxpayer.
D.
All of the above.
15. A Centralized Authorization File (CAF) number generally will be issued to
A. A recognized representative who files a power of attorney and written
declaration of representative.
B. A designee authorized under a tax information authorization.
C. Both A and B above.
D. An
individual that is to be represented.
16. Any notice or other written communication (or a copy thereof) require or permitted to be given to a taxpayer in any matter before the Internal Revenue Service must be given to the taxpayer and, unless restricted by the taxpayer, to the representative according to procedure. The following is a correct procedure for doing this.
A. If the taxpayer designates more than one recognized representative to receive
notices and other written communications, it will be the practice of the
Internal Revenue Service to give copies of such to all individuals so designed
(even if there are more than two individuals).
B. In a case in which the taxpayer does not designate which recognized
representative is to receive notices, it will be the practice of the Internal
Revenue Service to give notices and other communications to the last recognized
representative appointed on the power of attorney.
C. Failure to give notice or other written communication to the recognized
representative of a taxpayer will affect the validity of any notice or other
written communication delivered to a taxpayer.
D.
None of the above.
17. Where there is a dispute between two or more recognized representatives concerning who is entitled to represent a taxpayer in a matter pending before the Internal Revenue Service (or to receive a check drawn on the United States Treasury), the Internal Revenue Service will
A. Recognize the first disputing representatives.
B. Recognize the last disputing representatives.
C. Not recognize any of the disputing representatives.
D.
Recognize both representatives upon receipt of a copy of an agreement signed by
all.
18. The Tax Court has its own rules of practice and procedure and its own rules respecting admission to practice before it. Accordingly, a power of attorney is always required to be submitted by an attorney of record in a case which is docketed in the Tax Court.
True False
19. This is the Internal Revenue Service power of attorney form which may be used by a taxpayer who wishes to appoint an individual to represent him or her before the Internal Revenue Service.
A. Form 1040.
B. Form 2848.
C. Circular 230.
D.
CAF Form.
20. The office of each district director, the office of each service center, the office of each compliance center, the office of each regional commissioner, and the National Office constitute one same office of the Internal Revenue Service.
True False