Is the current de minimis safe harbor in Treasury Regulation section 301.7701-15(b)(2) is still in effect?
Yes. A tax return preparer will not be considered to have prepared a “substantial portion” of a return or claim for refund if the schedule, entry, or other portion of a return or claim for refund involves amounts of gross income, amounts of deductions, or amounts on the basis of which credits are determined which are (i) less than $2,000; or (ii) less than $100,000, and also less than 20 percent on the gross income (or adjusted gross income if the taxpayer is an individual) as shown on the return or claim for refund. We are considering whether revisions to these current de minimis rules are necessary in any future regulations. If a taxpayer brings a tax organizer to an appointment with a tax return preparer and the organizer reflects that the taxpayer made certain dollar amount of charitable contributions, does a preparer need to see documentation of the payments? A preparer may rely in good faith without verification upon information furnished by the taxpayer if it does not appear to
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