Asking more questions is not enough to meet the due diligence requirements when

Question

Asking more questions is not enough to meet the due diligence requirements when preparing a return for a taxpayer claiming the Earned Income Credit, the Child Tax Credit/Additional Child Tax Credit, and/or the American Opportunity Credit. Tax Professionals must also __________. Ask taxpayers for two references to verify the information.   Audit the return.   Contemporaneously document the questions asked and the taxpayer's responses.   Perform employment verification checks on all taxpayers claiming one of these credits.   Asking more questions is not enough to meet the due diligence requirements when preparing a return for a taxpayer claiming the Earned Income Credit, the Child Tax Credit/Additional Child Tax Credit, and/or the American Opportunity Credit. Tax Professionals must also __________.

Explanation / Answer

Apart from inquiring by way of asking questions while performing due deligence, we could check the claims made by them in the tax return are genuine or not by performing the employement verification checks on all taxpayers claiming any of the credits listed above.

With Just recording the questions asked and along with tax payers repsone will not meet the requirement of due deligence as it needs to check genuiness of claima and credits.

So Answer is Perform employment verification checks on all taxpayers claiming one of these credits.  

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