From TaxAlmanac, A Free Online Resource
From TaxAlmanac
Discussion Forum Index --> Tax Questions --> Tax preparer registration legislation
Lmcdon9822 (talk|edits) said:
| 15 September 2007
|
| There is talk about the governement passing laws that would reguire paid tax preparers to pass if not covered under Circular 230 (CPA, attorney, or EA). Does anyone know what the federal examination would consists of? Would it be both individual and business together or separate exams. There are some tax preparers that only do individual tax returns.
|
GeoEA1065 (talk|edits) said:
| 15 September 2007
|
| There is a lot of differant ideas, I am not sure if they have settled on a standard test yet, or even if they will test. They have some hurtles to hop before it is a done deal. It could be a test simular to the SEE or a lighter version of it. In Oregon you have to pass a test (can't remember if it is 4 or 5 hours) covering 1040 and the schedules.
|
TheTinCook (talk|edits) said:
| 15 September 2007
|
| Here in CA, all non Circular 230 professionals need to have a certain amount of CPE, be bonded, and register with CTEC. Registration is nice and all, but we still have plenty of fly-by-night yahoos out there.
|
Solomon (talk|edits) said:
| 15 September 2007
|
| This has been going on for several years. As yet, to my knowledge, no bill has made it to the President's desk - let alone a test constructed.
|
Taxstudent (talk|edits) said:
| 16 September 2007
|
| The most mature version of the proposed legislation is found in various Senate proposals from the last several years. In general, it would subject "compensated preparers" to regulation under Circular 230. The Service would then be required to come up with a test for the preparers within one year. The only thing that we know would be on the test (based on the Senate proposals) is the EITC requirements.
|
Lmcdon9822 (talk|edits) said:
| 16 September 2007
|
| GeoEA1065 - Just curious...why go for your CPA if you already and EA? What are the benefits? I am not a CPA. I am a member of NSA and was thinking about become an ATP (Acredited Tax Preparer). From what I understand this designation is not covered under Circular 230. If and when these laws pass, it may be beneficial for me to take the EA exam. I want to separate myself from the "fly-by-night" yahoos.
|
NYEA (talk|edits) said:
| 16 September 2007
|
| Senator Bingaman has introduced S. 1219 (it has 7 co-sponsors) - that is the current bill in the legislative hopper for the 110th Congress. If you wish to see its contents, go to the Thomas legislative site and you can pull it up.
|
CrowJD (talk|edits) said:
| 16 September 2007
|
| It would be great if they would just make them become EA's, I mean the system is already in place. Some have said, well yes, but I never plan to do an estate tax return (I think JR1 pointed that out at one time). So why not have an EA designation with gift and estate tax, and an EA income tax only. All the present EA's would be designated "with estate & gift", then all new applicants could chose income tax only, or the whole enchilada.
|
Kevinh5 (talk|edits) said:
| 16 September 2007
|
| Why not have an "attorney lite" for those attorneys who never plan on practicing in court? Just writing contracts & wills?
|
CrowJD (talk|edits) said:
| 16 September 2007
|
| They do, in England! Solicitors and Barristers. They have floated the idea here to try to clear up the incompetence that is rampant.
|
Taxman7 (talk|edits) said:
| September 16, 2007
|
| I like the idea of any and all paid tax preparers being required to have a license, or call it a certification or an authorization, but based on a test of the basic knowledge of how to prepare an income tax return , some suggest an experienced tax preparer could be grandfathered, but if the experienced tax preparer can't past the test, they don't need to prepare taxes, they need to go to tax school. This would help eliminate 'fly-by-nighters', such as a co-worker that prepares taxes for a dozen of his fellow workers and only charges 25 bucks, because of his low overhead, I wonder how much he costs his co-worker clients in missed deductions or maybe in P&I. of course we get that business as soon as one of them gets an IRS letter, it's always been strange that my barber has to go to school to cut hair and be licensed, but I can legally prepare his tax even if I had no experience or schooling,,,, I'm an unenrolled tax preparer with 25 years experience, but I think it would have been beneficial to me and my practice to have been required to have more tax education,,,, just my opinion,,,
|
To join in on this discussion, you must first
log in.
