Did you know that you could be fined $1,000 per tax return or 50% of your fee, whichever is greater? Recent changes in the Internal Revenue Code and the ethical directives of the Service have created stricter requirements on all persons who are tax return preparers. The Small Business and Work Opportunity Tax Act of 2007 and recently issued proposed regulations under Circular 230 have implemented a more-likely-than-not standard in determining the level at which tax positions may be taken by the return preparer with and without disclosure, and provided new and substantially heavier penalties to every income tax return filed beginning on January 1, 2008. No CPA can afford to begin the 2008 tax season without understanding these new provisions.