Skip to content

ACCA Applied Knowledge · Business and Technology · Ethical conflicts and dilemmas

An accountant is required by a court order to provide client records relating to a tax investigation. Which statement best describes the position under the confidentiality principle?

Disclosure is permitted and required because a court order creates a legal duty to disclose. The accountant should still disclose only the information covered by the order. Client consent is not a precondition, and refusing would put the accountant in breach of the law.

  1. ADisclosure is a breach of confidentiality and must be refused whatever the law says
  2. BDisclosure is permitted, and indeed required, because the law compels it, but only the information covered by the order should be givenCorrect
  3. CDisclosure is permitted only after the client has given written consent

Explanation

Confidentiality is overridden where disclosure is required by law, such as a court order. The accountant should still limit disclosure to what the order covers. Client consent is not needed where the law compels disclosure.

Did you get it right without looking?

One question tells you little. A timed set on Ethical conflicts and dilemmas shows your real accuracy, how long you take and where you lose marks.

Practise Ethical conflicts and dilemmasFree diagnostic mock

More Ethical conflicts and dilemmas questions