Final answer:
Due diligence for a tax practitioner means using reasonable effort to comply with the tax laws. This involves understanding and accurately applying tax principles and requirements, rather than focusing solely on efficiency or fees. The correct option is c.
Step-by-step explanation:
The concept of due diligence as it relates to a tax practitioner signifies that the professional should use reasonable effort to comply with the tax laws.
This encompasses understanding and applying the principles and requirements of taxation, ensuring that all procedures are followed and all relevant information is accurately reported.
In the context of due diligence, efficient performance, respect towards IRS officials, or reasonable fees charged for services do not solely encompass the core essence of this term. Instead, the focus is on the compliance and effort to uphold the law by the tax practitioner in their professional conduct.
Due diligence, in essence, means a tax practitioner should use reasonable effort to comply with the tax laws. This means that the tax practitioner should take the necessary steps to understand and follow the tax laws and regulations in order to ensure that they are accurately and lawfully filing taxes on behalf of their clients. The correct option is c.