Discussion:Circular 230 disclosure on e-mailed or faxed transmissions

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Discussion Forum Index --> Business Growth Community --> Circular 230 disclosure on e-mailed or faxed transmissions


Vhhm (talk|edits) said:

9 December 2005

I am a CPA and have noticed the 230 disclosure (example below) on several e-mails lately. Is this a requirement?

IRS CIRCULAR 230 Disclosure: Under U.S. Treasury regulations, we are required to inform you that any tax advice contained in this e-mail or any attachment hereto is not intended to be used, and cannot be used, to avoid penalties imposed under the Internal Revenue Code.

PGattoCPA (talk|edits) said:

10 December 2005
It is not a requirement, but it is listed in the "Best Practices" section of Crcular 230 (ยง10.33(a)(3)). Basically, it is good business sense if the communication is to one of your clients and it is a "CYA" addition to communications to non-clients (e.g., newsletters (electronic and hardcopy), e-mail exchanges, Usenet transmissions and even discussion groups such as this). Theoretically, every one of us in this group who answers a question should probably consider adding a disclaimer to the post.

In the Usenet / discussion group context I think it is ridiculous because we are obviously not the tax advisors to the people asking the questions (whether a tax professional or a taxpayer asks the question). However, I can easily imagine a lawsuit in our litigious society. Further, I can unfortunately also easily imagine the Service coming after a tax professional for an internet posting.

FYI - The moderated tax site on Usenet, misc.taxes.moderated, recently began adding the following electronic signature to ALL posts (both questions and answers): "The foregoing is intended for educational purposes only and does NOT constitute legal OR professional advice."

MAPBUSINESS (talk|edits) said:

3 April 2006
Would you include the disclosure to instruction letter attached to client's tax return copy?

JDACPA (talk|edits) said:

3 April 2006
I use the disclaimer on all e-mail, as it could be argued those are giving "tax advice" - I have it as part of my signature.

MariaR (talk|edits) said:

October 30, 2009
In the above post "IRS CIRCULAR 230 Disclosure: Under U.S. Treasury regulations, we are required to inform you that any tax advice contained in this e-mail or any attachment hereto is not intended to be used, and cannot be used, to avoid penalties imposed under the Internal Revenue Code. "

Could it be argued that it only refers to IRS and not State authorities... such as Franchise Tax Board for CA?

~Maria

NoVATaxes (talk|edits) said:

30 October 2009
The circular 230 disclaimer is automatically attached to all communication originating from my office email. I also include it on "newsletters" I occasionally send to clients. Essentially, whenever I present myself as a CPA/EA, I include the circular 230 disclaimer.

Gjkycpa (talk|edits) said:

3 June 2011
How do you attach the circular 230 disclaimer to a yahoo based e-mail?

Kritter (talk|edits) said:

3 June 2011
Under Options, then More Options, find where it says Signature, then type in the disclaimer. It will then show up on all your emails you do from that account.

Gjkycpa (talk|edits) said:

3 June 2011
Thanks for the response, Kritter.
  • combining duplicates (see FAQ #21 for why:

Gjkycpa (talk|edits) said:

3 June 2011

How do you attach the disclaimer to a yahoo based e-mail?

Nightsnorkeler (talk|edits) said:

3 June 2011
Yahoo! Mail > Yahoo! Mail > Emailing: The Basics How do I add or change a signature?

JR1 (talk|edits) said:

June 3, 2011
Crud. Now that us wild horses, aka unlicensed, unregistered professional prepares (Yoopers) now come under 230, is this mandated? What a cumbersome line of crud to put in the very email where you're providing advice.

DaveFogel (talk|edits) said:

3 June 2011
The purpose of the disclaimer is to prevent the email from being considered a "covered opinion" under section 10.35 of Circular 230.

I don't use it on all of my emails. For example, written advice (including advice contained in an email) that is given after a tax return has been filed generally isn't a covered opinion, and written advice that is "negative" (i.e., the advice is adverse to the taxpayer) is also excluded. See sections 10.35(b)(2)(ii)(C) and (E) of Circular 230.

In addition, I find it bothersome for those tax practitioners who attach the disclaimer to ALL emails because it tends to render the disclaimer as meaningless. Do you really need to attach the disclaimer to an email sent to a colleague to confirm lunch at a restaurant?

Taxaway (talk|edits) said:

3 June 2011
Dave, what happens if you cancel lunch...setting yourself up to a lawsuit.

I have an one-line sentence as part of my email signature indicating any advice might not be specific to the client's situation as it may be dependent on previous or other communications, ie CYA.


DISCLAIMER: The previous post by Taxaway cannot be considered as his opinion as it may change based on various factors such as weather, earth rotations and mood rings, and furthermore cannot be considered a TaxAlmanac post as it can be existentially argued that it does not exist other than a collections of pixels in what could be random order.

JR1 (talk|edits) said:

June 3, 2011
Extraordinary! Not many of us with gifts in math also were handed gifts with words!

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