Video: Client Disclosure

In this lesson, grasp the nuances of client disclosure as Nick Palazzolo, CPA, conveys the core principles of accuracy and liability in the context of CPA services. Delving into the inherent uncertainties in accounting work, Nick clarifies that CPAs aim for reasonable assurance rather than absolute accuracy. The lesson further explores the extensive liability associated with fraud and the CPA's duty of care that extends even beyond their direct clients to any users who may rely on their work. Nick also addresses the ethical and legal considerations when handling client files and work papers after leaving a firm. To tie it all together, he provides a practical scenario concerning tax deductions and the associated risks, emphasizing the importance of transparency and full disclosure to clients when proposing tax strategies.