TOP 20 ERRORS BY TAX PREPARERS

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Top Errors for Paid Preparers on Paper Return Submissions

Top 20 Errors for Paid Preparers through October 27, 2006

Paper Return 1040
1. Dependent's last name didn't match SSA or our records. We didn't allow the exemption.
141,290 Errors
2. EIC was figured or entered incorrectly. 39,778 Errors
3. Tax was refigured using computation from schedule D tax worksheet or qualified dividends and capital gain tax worksheet. 37,145 errors
4. Didn't include SSN or ITIN for dependents.
5. Child's SSN and/or name didn't match SSA or our records. EIC was changed. 33,993 errors
6. Child(ren)'s age exceeded the limit. All or part of the child tax credit and/or additional child tax credit was disallowed. 28,868 errors
7. Based on information reported, the IRS re-figured the tax using the filing status for a single person.
23,952 errors
8. Taxable amount of social secuirty benefits on Page 1 of return was figured incorrectly. 23,495 errors. Taxxcpa comment: Up to 85% of your Soc Security may be taxable

9. Child tax credit was figured incorrectly based on the number of boxes checked and/or on adjusted gross income. 22377 errors
10. Earned Income Credit was not allowed. Didn't file Form 8862.
11. Tax amount wasn't the correct amount based on taxable income and filing status.
12. Additional child tax credit from Form 8812 was incorrectly computed or transferred to the return.
13. Refund amount or the amount owed was figured incorrectly.
14. Spouse's SSN or ITIN and/or name didn't match SSA or our records. Spouse's personal exemption wasn't allowed. Taxxcpa comment: If the wife keeps her maiden name on her social security card and they use her married name on the tax return it causes a mis-match.
15. Failed to subtract the advanced child tax credit payment from total credit amount.
16. SE tax from Schedule SE was incorrectly computed or transferred to Form 1040.
17. Earned Income Credit was not allowed. You or your spouse must be at least 25, but less than 65, years old within the tax year.
18. Total exemption amount on page 2 of the return was incorrect.
19. Net profit or loss from business was incorrectly computed or transferred to Form 1040.
20. Taxpayer's SSN or ITIN and/or name didn't match SSA or our records. Personal exemption wasn't allowed.
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