Question

Under what circumstances may a tax preparer who prepares federal tax returns endorse or otherwise negotiate a taxpayer's federal tax refund check?

a) A tax preparer may cash a federal tax refund check if the taxpayer endorses the check and grants power of attorney on form 2848.

b) no circumstances exist that allow a tax preparer to endorse or otherwise negotiate a taxpayer's federal ta refund check.

c) A tax preparer may endorse and cash a federal tax refund check if the amount of the check is less than $ 100 and the taxpayer has no bank account.

d) a tax preparer who is authorized to represent taxpayers, may endorse and cash a federal tax refund check for the taxpayer.

Answer 1

The correct answer is letter "B": no circumstances exist that allow a tax preparer to endorse or otherwise negotiate a taxpayer's federal tax refund check.

Step-by-step explanation:

Tax refund checks are not endorsable under any circumstance. Taxpayers can provide a Power of Attorney to other individuals or third parties so they can receive the taxpayer's confidential information but not even with a Power of Attorney the individual can endorse a tax refund check.