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Abstract
Effective January 1, 2010, the AICPA adopted revised and update Statements on Standards for Tax Services (SSTS). Under SSTS No. 1, the recommendation of a tax return position is conditioned on the AICPA member having a good-faith belief that, if challenged, the tax position has a realistic possibility of being sustained administratively or judicially on its merits. SSTS No. 2 addresses the issue of signing the preparer's declaration on a tax return if one or more questions on the return have not been answered. SSTS No. 3 permits members to rely in good faith (without verification) on information furnished by, and representations of, the taxpayer or third parties unless they appear incomplete, incorrect or inconsistent. The other standards examined are: 1. SSTS No. 4, Use of Estimates, 2. SSTS No. 5, Departure from a Position Previously Concluded in an Administrative Proceeding or Court Decision, 3. SSTS No. 6, Knowledge of Error: Return Preparation and Administrative Proceedings, and 4. SSTS No. 7, Form and Content of Advice to Taxpayers.