CIRCULAR 230 SETS STRINGENT REQUIREMENTS FOR WRITTEN TAX ADVICE.

The article discusses the rule that has been implemented governing the conduct of tax practitioners in the U.S. The rule start in regulation known as Circular 230 which governed tax practice before the Internal Revenue Service, and has been expanded to control any written tax advice. These written tax advice includes electronic communications such as e-mails, letters and memoranda and must comply with stringent requirements and should not constitute an opinion that might shield from tax penalties.