This text of Iowa § 421.63 (Authority to enjoin certain tax return preparers) is published on Counsel Stack Legal Research, covering Iowa primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.
1.For purposes of this section, unless the context otherwise requires:
a.“Department” means the Iowa department of revenue.
b.“State” means any state of the United States, the District of Columbia, Puerto Rico, the
United States Virgin Islands, or any territory or insular possession subject to the jurisdiction
of the United States.
c.“Tax return preparer” means the same as defined in section 421.62.
d.“Unreasonableposition”meansthesameasdefinedinsection6694(a)(2)oftheInternal
Revenue Code.
e.“Willful or reckless” means the same as “willful or reckless conduct” defined in section
6694(b)(2) of the Internal Revenue Code.
2.The director of the department may seek a temporary or permanent injunction from
any court of competent jurisdiction to prevent a tax return preparer from engaging
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1. For purposes of this section, unless the context otherwise requires:
a. “Department” means the Iowa department of revenue.
b. “State” means any state of the United States, the District of Columbia, Puerto Rico, the
United States Virgin Islands, or any territory or insular possession subject to the jurisdiction
of the United States.
c. “Tax return preparer” means the same as defined in section 421.62.
d. “Unreasonableposition”meansthesameasdefinedinsection6694(a)(2)oftheInternal
Revenue Code.
e. “Willful or reckless” means the same as “willful or reckless conduct” defined in section
6694(b)(2) of the Internal Revenue Code.
2. The director of the department may seek a temporary or permanent injunction from
any court of competent jurisdiction to prevent a tax return preparer from engaging in further
conduct described in subsection 3.
3. A tax return preparer may be temporarily or permanently enjoined from engaging in
activity described in section 421.62, subsection 1, paragraph “d”, if the court finds that a tax
return preparer has continually engaged in the following conduct and that injunctive relief is
necessary to prevent the recurrence of such conduct:
a. Preparation of any income tax return or claim for refund that includes an unreasonable
position that understates the taxpayer’s liability.
b. Preparation of any income tax return or claim for refund that includes a willful or
reckless understatement of the taxpayer’s liability.
c. Failure to do any of the following:
(1) Furnish a copy of an income tax return or claim for refund, when required.
(2) Sign the income tax return or claim for refund, when required.
(3) Furnish an identifying number, when required.
(4) Retain a copy of the income tax return, when required.
(5) Complete continuing education requirements as required pursuant to section 421.64.
(6) Use diligence in determining eligibility for tax benefits, when subject to due diligence
requirements imposed by department rules.
d. Negotiating on behalf of a taxpayer the issuance of a check by the department, without
the permission of the taxpayer.
e. Engaging in conduct subject to a criminal penalty under this chapter.
f. Misrepresenting the eligibility of the preparer to practice before the department or
otherwise misrepresenting the experience or education of the preparer.
g. Guaranteeing the payment of any income tax refund or the allowance of any income
tax credit.
h. Engaginginanyotherfraudulentordeceptiveconductthatsubstantiallyinterfereswith
the proper administration of the tax laws of this state.
4. The fact that the person has been enjoined from preparing tax returns or claims for
refund for the United States or any other state, in the five years preceding the petition for an
injunction, shall establish a prima facie case for an injunction to be issued pursuant to this
section.