Tax Preparation Registration: Update
Recently we ran an article informing you of impending IRS tax preparer regulations. According to new information recently released by the IRS, we would like to provide you with a brief update.
Phase One (Mid-September, 2010 to January 1, 2012)
This first phase requires the pre-registration of all paid tax preparers after which they will be issued or reissued a PTIN. Our earlier understanding, based on IRS information, was that the deadline for pre-registering was December 31, 2010, and that anyone who applied after that deadline would not receive a PTIN without first passing the test. However, recent announcements posted to the IRS website indicate you can register anytime in 2011 before the competency tests are available. They will charge a $64.25 annual registration fee as well.
Regardless of this apparent extension of the original deadline provided by the IRS, we suggest you register as soon as possible.
Phase Two (Summer 2011 to June 2014)
During this phase, all paid tax preparers must pass a test demonstrating their qualifications within three years. The exam will not be available until June 2011, and you have until June 2014 to pass the exam(s), assuming that you register before the exam is made available. Once the exam is available, un-registered individuals will need to take the exam before registering. We have not yet been given any information about the costs for the competency testing, nor do we know whether or not they can be taken online, but it does appear that they will be open-book.
Phase Three (Summer 2011 and on)
Previously we stated that you would have three years to take 15 hours of continuing professional education (CPE) credits. Now we have learned that once you are a registered tax preparer, you will have minimum continuing education requirement of 15 CPE credit hours per year, including 2 hours of ethics, 3 hours of federal tax updates, and 10 hours of general federal tax law topics.
Prepare Yourself!
This is a fantastic opportunity for tax preparers who are serious about their practices, or who wish to finally begin a tax preparation career, to take a big step forward as professionals. With increased requirements will come increased respect for the tax profession and the corresponding withdrawal of questionable and dishonest tax preparers, the kind who promise a refund no matter what and/or are under-qualified, if they have any qualifications at all. Just meeting the new IRS requirements will provide a huge marketing opportunity as you grow your practice. And rest assured, Universal Accounting will be there to help you with all the great training and marketing resources we have to offer.
Universal Accounting’s Tax Training
Universal Accounting Center already offers training that could help you prepare for the IRS competency exams while earning those required CPE credits.
The Professional Tax Preparer program will not only give you hands-on training in completing full individual (1040) and business returns (1065, 1120, 1120S), but it will also provide you with the following:
- 20 hours of valuable video instruction
- 2 instructional manuals
- Step-by-step instruction in becoming a sole practitioner
- One year of follow-up support from expert tax preparers
- The opportunity to earn valuable professional certification
- Our iron-clad, risk-free guarantee
Be prepared for the changes that will impact all future tax preparers. Enroll in the Professional Tax Preparer Program today, and be ready for impending IRS regulations for paid tax preparers.
