Which of the following professionals is governed by Circular 230?

The correct choice is that certified public accountants (CPAs) are governed by Circular 230. Circular 230 is a regulation issued by the U.S. Department of the Treasury that outlines the practices and conduct expected from tax professionals who represent taxpayers before the IRS. The regulations cover various types of professionals, including attorneys and certified public accountants, ensuring that they adhere to ethical standards and provide competent authority in tax matters. CPAs, being licensed professionals who may provide tax preparation and advisory services, fall under the scope of these regulations.

Other professionals mentioned, such as insurance agents, real estate agents, and investment advisors, are not governed by Circular 230 when it comes to IRS practices. While they may have their own regulatory standards specific to their professions, they do not have the same level of oversight in respect to representing taxpayers in IRS matters as CPAs do. Thus, the distinction lies in the specific application of Circular 230, which is designed to maintain integrity and proficiency in the field of tax representation.