CAA CAA Agreement Terms and Fee Disclosure Requirements 3

Question 1

When submitting an ITIN application package, which combination of items must a CAA include?

Accepted Answer

Completed Form W-7, certified copies of identity documents, and Form 14194

Answer

Completed Form W-7 and original identity documents only

Answer

Form 14194 and a notarized affidavit from the applicant

Answer

Completed Form W-7 and a copy of the applicant's most recent tax return only

Question 2

What does a CAA certify when completing Form 14194 (Certificate of Accuracy)?

Accepted Answer

That original identity documents were personally reviewed and certified copies accurately represent those originals

Answer

That the applicant is eligible for a specific federal tax refund

Answer

That the applicant's income qualifies for treaty benefits

Answer

That the ITIN application will be approved by the IRS

Question 3

If the IRS rejects an ITIN application submitted by a CAA, who bears responsibility for notifying the applicant?

Accepted Answer

The CAA is responsible for notifying the applicant and addressing any application deficiencies

Answer

The IRS directly contacts the applicant by certified mail

Answer

The State Department notifies foreign nationals through consular channels

Answer

The IRS Tax Court issues an official rejection notice to the applicant

Question 4

Which advertising practice is permitted for CAAs under IRS program guidelines?

Accepted Answer

Clearly identifying themselves as IRS-authorized agents while clarifying they are not IRS employees

Answer

Stating they are 'IRS employees' to build client trust

Answer

Advertising as 'IRS-certified' to convey their authorized status

Answer

Advertising guaranteed ITIN approval as a competitive advantage

Question 5

A CAA delegates the task of certifying ITIN supporting documents to an uncertified employee. This action is:

Accepted Answer

A violation of the CAA agreement that could result in agreement termination

Answer

Permitted as long as the CAA directly supervises the employee at all times

Answer

Required to be reported to the IRS within 30 days of delegation

Answer

Allowed provided the employee separately completes Form 13551

Question 6

Before completing Form 14194, which of the following must a CAA specifically verify about the applicant's identity documents?

Accepted Answer

That documents are original, unexpired, and display the applicant's name and photograph

Answer

That the applicant has filed U.S. taxes for at least one prior year

Answer

That the applicant holds a valid U.S. entry visa at time of application

Answer

That the applicant's country has a tax treaty with the United States

Question 7

A client asks a CAA to certify their identity documents via mail without an in-person meeting. The CAA should:

Accepted Answer

Decline, because CAAs must physically review original documents in person

Answer

Proceed if the client provides notarized copies of the documents

Answer

Accept the documents by mail and certify based on their visual appearance

Answer

Refer the client to the IRS directly and close their file immediately