This podcast is made by Ran Chen, who holds an EA license, Insurance and Securities licenses (Series 6, 63, 65), and the CFP® designation. He is passionate about opening access to high-quality exam preparation resources and helping learners prepare more effectively for professional certification exams.

In this episode you will learn:

• Due diligence under Section 6695(g) is mandatory for returns claiming EITC, CTC/ACTC, AOTC, and HOH status.

• Completing and filing Form 8867 is a non-negotiable part of the due diligence process.

• The "knowledge" requirement demands proactive questioning and probing of client information, not just passive acceptance.

• The 2025 penalty is $600 per failure, meaning multiple errors on one return can lead to multiple penalties.

• Use the mnemonic "Kings Can't Refuse Documents" to recall the four pillars: Knowledge, Checklists (Form 8867), Record Retention, and Documentation.

For more free exam prep tools, practice questions, and AI-powered explanations, visit https://open-exam-prep.com/ or Youtube Channel: https://www.youtube.com/@Open-exam-prep