Confidential Client Information Rule Essay

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I agree with the author’s answer that a certified public accountant should never reveal confidential information about the client without getting a consent from the client first. In this case, the information about the client possibly violating the laws regarding minimum wages was private and nonpublic. As a result, disclosing this information might harm the client. And therefore, the client expected that as a professional CPA I must keep this confidential information unrevealed. Here, it was not relevant if I would get a reward for disclosing this information or not. The reason why I am agreeing with the author will be explained in the paper. According to the “Confidential Client Information Rule”, a CPA whether practicing independently or …show more content…

It is against the code of conduct of a CPA to reveal any confidential information s/he obtains through an ‘employment relationship’ with a client. In addition to that, professionals in the service providing industry (including CPAs) are not allowed to use any confidential information obtained from a client for his/her personal gains or benefits ("IESBA - Revised Code of Ethics - IFAC", 2017). According to AICPA Code-5 and IFAC Code-6, CPAs can do their jobs properly if the clients share all the relevant confidential information with them with fearing that this information might be leaked by the CPA or be used by him/her for personal gain. As a result, giving the clients the confidence that their shared information will not be disclosed anywhere and will not be used for other purposes is very important to get the job done efficiently and properly. This rule is even applicable for professionals performing unpaid voluntary services for the clients. However, a CPA can disclose such confidential information if there is any professional or legal duty or obligation to disclose ("IESBA - Revised Code of Ethics - IFAC", 2017). Since this is not the case in our scenario, so I must not reveal this information to

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