Want to learn about Enrolled Agents?
Here's the thing.
A tax advisor who has the privilege in representing taxpayers before the IRS (Internal Revenue Service) is referred to as an Enrolled Agent (EA) and he is empowered by the United States Department of the treasury. EA also represents IRS issues such as collections, audits, and appeals. The status of EA is the highest credential which was awarded by the IRS. According to a survey conducted by the National Association, more than 53,000 people are practicing EAs in the US.
Let's know the steps to become an EA.
Steps to become an Enrolled Agent:
- The initial step in becoming an Enrolled Agent is to obtain PTIN (Pre-paper Tax Identification Number).
- Then go to the website of SEE (Special Enrollment Examination) for scheduling the test appointments and review the sample test questions.
- Pay the fee and apply for the enrollment using pay.govform23. Mail the completed form to the IRS.
- Then pass the suitability check to ensure tax compliance in filing necessary tax returns, and there is no criminal background.
Note: Certain employees are exceptional from the exam requirement because of their past technical experience.
Below is the renewal process for the Active EAs.
Renewal for Active Enrolled Agents:
A person who wants to become an EA must complete 72 hours of CPE (Continuing Professional Education) every three years. Also, include 16 hours of professional conduct every year. The IRS requires at least 3 hours of CPE. EA should renew their PTIN in the period of 16th October to 31st December every year.
Enrolled Agents can be admitted to practice during the three successive enrollment years of the cycle by preceding the renewal date. A person who is not satisfied with the renewal requirements will be placed on the inactive enrolled roster. The individual will be ineligible during the time before the IRS and may not imply to represent the taxpayers.
Continuing Education Requirements:
- Obtain 16 hours of professional conduct and ethics.
- Obtain 72 hours of CPE (based on renewal cycle).
- Use the IRS for the approval of a Continuing Education Provider.
Practice before the Internal Revenue Service (IRS):
Before the IRS, the right time to practice is regulated by Federal statute. The person who is authorized in the federal statute is called "Federally Authorized Tax Practitioners (FATP)". The status of FATP is granted to CPAs, Attorneys, and EAs. These practitioners help in representing the clients on payment issues, collection actions, audits, appeals, and TAX refund matters. It's also granted with limited enrolled retirement agents, Enrolled actuaries, and return pre-papers of registered TAX. The Enrolled Agents can practice in the United States Tax Court, which is limited to the BAR members. The non-attorneys also should pass the Tax court exam in getting admission to the BAR court.
Hope you got useful information about Enrolled Agents in the above article. We gave the details in "How to become an Enrolled Agent?." Still, you have any doubts please feel free to comment in the below section.
Simandhar is the official partner of Becker and AICPA - Largest Training provider for US CPA, US CMA , IFRS and EA courses in India with offices in Bangalore, Hyderabad, Delhi, Ahmedabad, Gurgaon, Kerala, Cochin (Kochi), Trivandrum, Kottayam, Kozhikode, Malappuram, Chennai, and Mumbai.
Learn how to use Enrolled Agent, from First basics to advanced techniques, with online video tutorials taught by industry Experts. Simandhar Education is best leading EA Online Training in Hyderabad. Contact [email protected] 919390785925.
Author Bio: Anji Velagana is the Content strategist at Simandhar Education and has 2 years of experience in content writing and blogging. He loves pursuing excellence through writing and has a passion for technology & educational content. Contact him on LinkedIn.