What information does a preparer need to maintain for each return done? -
ANSWER A preparer must maintain the taxpayer's name, tax ID number, taxable year
of the taxpayer, name of the preparer, and the type of return or claim for refund prepared.
Can you prepare tax returns when you are suspended from Practice before the IRS? -
ANSWER Yes because preparing tax returns is not considered "practice before the
IRS."
What are you required to do every year in order to participate in the Annual Filing Season
Program and to get a Record of Completion certificate? - ANSWER You must:
- Take 18 hours of continuing education from IRS-Approved CE Providers including: a six hour
annual federal tax refresher course that covers filing season issues and tax law updates, as
well as a knowledge-based comprehension test administered at the end of the course by the
CE Provider; Ten hours of other federal tax law topics and; Two hours of ethics.
- Have an active PTIN.
- Consent to adhere to specific practice obligations outlined in Subpart B and section 10.51
of Treasury Department Circular No. 230.
Who can represent an individual in front of the IRS without a power of attorney? -
ANSWER Immediate family members (spouse, child, sibling or parent) can represent
an individual but they cannot sign a power of attorney to authorize somebody else to
represent the individual.
By signing a form 2848, the representative declares under penalties of perjury that he or she
is aware of what? - ANSWER The regulation in Treasury Department Circular No. 230.
When researching tax law for specific situations, what are considered reliable sources of
information? - ANSWER - The Internal Revenue Code
1
, - The Treasury Regulations
- Revenue Rulings
- Revenue Procedures
- Written Determinations
- Announcement and Notices
- Court Rulings
- The Congressional Bill or Law
- Congressional Committee Reports
When applying for an installment agreement, when is form 433-F, Collection Information
Statement, required to be filed? - ANSWER The Collection Information Statement is
required to be filed when you owe less that $50,000.
How long does the IRS have to release the lien after the taxpayer satisfies the amount of tax
due? - ANSWER 30 days
When is the IRS able to file a tax lien? - ANSWER The lien may be filed when the tax is
assessed and the tax not paid within 10 days of receiving the bill.
How long after the assessment of tax can the IRS collect outstanding taxes? -
ANSWER 10 years
What information can an authorized e-file provider update with the IRS by letter instead of
online? - ANSWER - If the e-file provider is selling, transferring, or otherwise
discontinuing its e-file business.
- All contact information
- Contact persons
- Form types to be e-filed
- Transmission protocols
2
ANSWER A preparer must maintain the taxpayer's name, tax ID number, taxable year
of the taxpayer, name of the preparer, and the type of return or claim for refund prepared.
Can you prepare tax returns when you are suspended from Practice before the IRS? -
ANSWER Yes because preparing tax returns is not considered "practice before the
IRS."
What are you required to do every year in order to participate in the Annual Filing Season
Program and to get a Record of Completion certificate? - ANSWER You must:
- Take 18 hours of continuing education from IRS-Approved CE Providers including: a six hour
annual federal tax refresher course that covers filing season issues and tax law updates, as
well as a knowledge-based comprehension test administered at the end of the course by the
CE Provider; Ten hours of other federal tax law topics and; Two hours of ethics.
- Have an active PTIN.
- Consent to adhere to specific practice obligations outlined in Subpart B and section 10.51
of Treasury Department Circular No. 230.
Who can represent an individual in front of the IRS without a power of attorney? -
ANSWER Immediate family members (spouse, child, sibling or parent) can represent
an individual but they cannot sign a power of attorney to authorize somebody else to
represent the individual.
By signing a form 2848, the representative declares under penalties of perjury that he or she
is aware of what? - ANSWER The regulation in Treasury Department Circular No. 230.
When researching tax law for specific situations, what are considered reliable sources of
information? - ANSWER - The Internal Revenue Code
1
, - The Treasury Regulations
- Revenue Rulings
- Revenue Procedures
- Written Determinations
- Announcement and Notices
- Court Rulings
- The Congressional Bill or Law
- Congressional Committee Reports
When applying for an installment agreement, when is form 433-F, Collection Information
Statement, required to be filed? - ANSWER The Collection Information Statement is
required to be filed when you owe less that $50,000.
How long does the IRS have to release the lien after the taxpayer satisfies the amount of tax
due? - ANSWER 30 days
When is the IRS able to file a tax lien? - ANSWER The lien may be filed when the tax is
assessed and the tax not paid within 10 days of receiving the bill.
How long after the assessment of tax can the IRS collect outstanding taxes? -
ANSWER 10 years
What information can an authorized e-file provider update with the IRS by letter instead of
online? - ANSWER - If the e-file provider is selling, transferring, or otherwise
discontinuing its e-file business.
- All contact information
- Contact persons
- Form types to be e-filed
- Transmission protocols
2
