Enrolled agents are tax practitioners that are empowered by the government to represent the interests of taxpayers. They represent taxpayers in the Internal Revenue Service, IRS. In the US, these professionals receive their empowerment from the department of the treasury. This means that these individuals are very important to the government and to you as a taxpayer. For that reason, it is important to understand the roles of enrolled agent CE and general information on how you can hire them.
When it comes to taxation, enrolled agents can be of great help. They act as representatives and advisers to different people. They may file taxes for sole proprietorships, non-profit organizations, corporations, or any other business entity such as international businesses, resident aliens, new immigrants and non-resident aliens.
They take part in tax preparation for variety of filers. Some of the filers may include, estates, trusts, corporations, individuals and partnerships. Due to the fact that taxation may change from one year to another, it is wise for enrolled agents to take part in 72 hours professional education very three years. This aims at ensuring that these agents retain their statuses.
These professionals may also be involved in helping the IRS in audit responses, levies, collection matters among other IRS procedures. They are required to be trustworthy, credible and convenient. This is because they have a critical responsibility to serve the taxpayer. As a taxpayer, you do not want to be served by incompetent persons that cannot be relied.
If you consider hiring an enrolled agent, it is the most critical first step in solving your taxation problems. However, this does not guarantee that your headaches about taxation are gone. It only means that you stand better chances to solving your taxation problems compared to another individual who may seek assistance from lesser trained individuals or companies. The fact these specialists are government affiliated means that you will be served with the highest level of expertise on the field of taxation. Think about the accountability between these specialists and the department of treasury and find that it is very comforting.
However, it is a wise idea for these specialists to protect themselves. Protecting themselves as preparers of tax is necessary because their job exposes them to many risks. They have the ability to safeguard themselves from litigation. This can be achieved by purchasing professional insurance policies. The purpose of the policies is to protect them from errors made during the process of tax preparation.
Enrolled agents cannot at any cost be forced to reveal any information shared between them and the taxpayer. Authorities including the IRS should not try to interfere with client privileges and confidentiality. However, this client privilege and confidentiality does not involve state tax matters. Another type of tax that may require full disclosure of information shared between the taxpayer and the professional is file tax returns preparation.
In the recent past, individuals that prepare tax returns including enrolled agents are required by the law to possess a Tax Identification Number. This rule by the IRS to have tax preparers have PTIN is aimed at regulating the tax preparation industry. Initially, this industry was very much unregulated. In order for tax preparers to obtain a PTIN, they should create an account and fill out an application. They are required to pay $64.25 as fee.
When it comes to taxation, enrolled agents can be of great help. They act as representatives and advisers to different people. They may file taxes for sole proprietorships, non-profit organizations, corporations, or any other business entity such as international businesses, resident aliens, new immigrants and non-resident aliens.
They take part in tax preparation for variety of filers. Some of the filers may include, estates, trusts, corporations, individuals and partnerships. Due to the fact that taxation may change from one year to another, it is wise for enrolled agents to take part in 72 hours professional education very three years. This aims at ensuring that these agents retain their statuses.
These professionals may also be involved in helping the IRS in audit responses, levies, collection matters among other IRS procedures. They are required to be trustworthy, credible and convenient. This is because they have a critical responsibility to serve the taxpayer. As a taxpayer, you do not want to be served by incompetent persons that cannot be relied.
If you consider hiring an enrolled agent, it is the most critical first step in solving your taxation problems. However, this does not guarantee that your headaches about taxation are gone. It only means that you stand better chances to solving your taxation problems compared to another individual who may seek assistance from lesser trained individuals or companies. The fact these specialists are government affiliated means that you will be served with the highest level of expertise on the field of taxation. Think about the accountability between these specialists and the department of treasury and find that it is very comforting.
However, it is a wise idea for these specialists to protect themselves. Protecting themselves as preparers of tax is necessary because their job exposes them to many risks. They have the ability to safeguard themselves from litigation. This can be achieved by purchasing professional insurance policies. The purpose of the policies is to protect them from errors made during the process of tax preparation.
Enrolled agents cannot at any cost be forced to reveal any information shared between them and the taxpayer. Authorities including the IRS should not try to interfere with client privileges and confidentiality. However, this client privilege and confidentiality does not involve state tax matters. Another type of tax that may require full disclosure of information shared between the taxpayer and the professional is file tax returns preparation.
In the recent past, individuals that prepare tax returns including enrolled agents are required by the law to possess a Tax Identification Number. This rule by the IRS to have tax preparers have PTIN is aimed at regulating the tax preparation industry. Initially, this industry was very much unregulated. In order for tax preparers to obtain a PTIN, they should create an account and fill out an application. They are required to pay $64.25 as fee.
