Refund from tax preparer - if/how to report

[ZWu1]

@guywong and other experts:

As I will need to sign a waiver to get the payment from the CPA, basically saying after accepting the amount as the CPA's payment for his mistake, anything happens in the future about this the CPA is fully relieved of any responsibilities, and it's all my responsibility.

I am concerned about stepping into any pitfalls or potential issues by signing this. What potential issues may I come across?

[guywong]

I'm afraid that's a legal question for which I'm not qualified to answer.  If you're concerned about signing the waiver, I'd suggest you consult an attorney.

Having said that, I can understand why the CPA wants you to sign a waiver.  Assuming you will engage another CPA to prepare your 2024 tax return, you may want to have this new CPA review your past tax returns and see if the indemnity payment you received is sufficient to cover the additional income taxes you may owe in the future due to the errors made, if/when you decide to sell the property, based on current tax law, perhaps the tax due on the indemnity payment as well. 

Bottomline is are you satisfied with the amount of the indemnity payment you received and are there any other errors made by your former CPA?