Hock international EA part 3 Exam And Correct Answer 2025 Update

Hock international EA part 3 Exam And
Correct Answer 2025 Update
Which of the following actions does NOT constitute "Practice Before the IRS"? - Answer
-✔✔Furnishing information at the request of an IRS employee.

Of the following statements below, which one is not considered practice before the
Internal Revenue Service? - Answer -✔✔Preparing a client's tax return at the request of
the Internal Revenue Service.

Which of the following disciplined practitioners may represent clients before the IRS? -
Answer -✔✔Angela, a practitioner who has been publicly censured by OPR.

An enrolled agent may represent clients in all but one of the following: - Answer -✔✔In
the U.S. Tax Court.

With regards to practice before the IRS, which of the following actions would be
"representation" of a taxpayer? - Answer -✔✔Responding to IRS notices and inquiries
for a taxpayer.

Which of the following practitioners have unlimited representation rights before the IRS
in all 50 states? - Answer -✔✔Enrolled agents.

An enrolled agent is eligible to practice before: - Answer -✔✔All levels of the IRS.

"Practice before the IRS" includes which of the following acts? - Answer -
✔✔Representing a taxpayer before IRS appeals.

Which of the following sanctions would NOT bar an enrolled practitioner from practicing
before the IRS? - Answer -✔✔Censure.

Which of the following actions does NOT constitute "Practice before the IRS"? - Answer
-✔✔Appearing as a witness for the taxpayer

Which of the following practitioners have unlimited practice rights before the IRS and
the U.S. Tax Court? - Answer -✔✔Attorneys only.

Brandt is a disbarred attorney. He lost his license to practice because of a fraud
conviction. Which of the following types of representation would NOT be allowed, while
Brandt is disbarred? - Answer -✔✔Brandt may represent his cousin before IRS Appeals
with Form 2848.

,In order to practice before the IRS, attorneys and CPAs that are licensed to practice in a
particular state must: - Answer -✔✔Be in good standing in that state and may practice
before the IRS in any state.

What is the primary function of the Office of Professional Responsibility? - Answer -
✔✔OPR oversees tax practice standards and proposes discipline.

With regards to the Annual Filing Season Program, how often are non-exempt
participants required to take the Annual Federal Tax Refresher test? - Answer -
✔✔Annually.

Which of the following is not a requirement of the Annual Filing Season Program? -
Answer -✔✔The preparer must be a U.S. citizen or U.S. resident.

Melanie is a tax preparer who has an AFSP certificate. How often must she renew her
certificate? - Answer -✔✔Every year

The IRS currently offers two types of voluntary return preparer designations/licensing.
What are they? - Answer -✔✔The Enrolled Agent credential and the Annual Filing
Season Program.

Tereza is an unenrolled tax return preparer with an AFSP certificate. She has a new
client named Jasper who received an IRS notice stating that his 2023 tax return is under
examination. Jasper was not Tereza's client in the past, and she did not prepare the
return. Can Tereza represent Jasper in the audit, even though she did not prepare the
return? - Answer -✔✔No, she cannot represent him.

Danika is an unenrolled preparer who would like to have some sort of certification, but
she doesn't think she's ready to take the enrolled agent exam yet. She hears about the
Annual Filing Season Program, and decides to participate. What are the requirements
for her to obtain an AFSP Record of Completion? - Answer -✔✔Danika must obtain 18
hours of continuing education from an IRS-approved CE Provider and pass a
knowledge-based exam.

The Annual Filing Season Program (AFSP) is a ________________. - Answer -
✔✔Voluntary program.

Is there a fee to obtain an Annual Filing Season Program (AFSP) certificate from the
IRS? - Answer -✔✔The IRS does not charge any fee for participating in the AFSP
program.

The following credentialed tax professionals have unlimited representation rights before
the IRS EXCEPT: - Answer -✔✔AFSP Certificate holders.

,John's tax return was selected for IRS audit. John represented himself during the audit,
but was unhappy with the audit results because the examiner disallowed a large
charitable deduction that he believes should be allowed. John filed an appeal of the IRS
examination and then hired Brandy, who is a return preparer with an AFSP certificate,
but no other licensing. Which of the following is correct? - Answer -✔✔Brandy may not
represent John before IRS Appeals, and she may not advocate for John.

Iryna passed the Registered Tax Return Preparer (RTRP) when it was still being offered
by the IRS. What special exemption does she have because of this? - Answer -✔✔Iryna
is exempt and able to obtain the AFSP (Record of Completion) without taking the
Annual Federal Tax Refresher course.

Hasan is an unenrolled preparer, but he would like to obtain an AFSP certificate this
year. Regarding the Annual Filing Season Program, what is the deadline for him to take
a qualifying course, in order to obtain his certificate for the next filing season? - Answer
-✔✔Hasan must complete and pass the AFTR course and obtain his required CE by
December 31 prior to the start of the tax season.

With regards to the Annual Filing Season Program, which of the following preparers are
exempt from the annual AFTR course? - Answer -✔✔Tax preparers who volunteer for
VITA/TCE

Declan is a tax preparer. He does not hold any formal licensing or have an AFSP
certificate. The IRS is auditing his client's business returns. Declan prepared all the
returns, and his client wants Declan to represent him during the audit. What can Declan
do in order to represent his client? - Answer -✔✔Declan may not represent his client
before the IRS.

A fiduciary is treated by the IRS as __________. - Answer -✔✔The taxpayer
themselves.

Which of the following is not automatically allowed to represent a taxpayer before the
IRS due to a special relationship with that taxpayer? - Answer -✔✔An uncle
representing his niece.

Which of the following individuals is not allowed to practice before the IRS? - Answer -
✔✔An enrolled agent who has been placed on inactive status.

Angelo is an enrolled agent who is currently under suspension. His suspension is only
temporary, and his license will be reinstated after two years. He prepared a tax return
for Laura in a prior year and that return is now being audited. Laura would like Angelo to
represent her in the IRS examination. Which of the following statements is correct? -
Answer -✔✔The IRS will not allow Angelo to represent Laura.

, Is a social security number required to obtain a PTIN (choose the best answer)? -
Answer -✔✔A social security number is usually required to obtain a PTIN, unless the
preparer is a foreign person with a permanent non-U.S. address, and can provide
documentation to support that status.

Under Circular 230, a "tax return" is defined as: - Answer -✔✔An original return, a claim
for refund, or an amended return.

How often is a tax preparer required to renew his or her PTIN? - Answer -✔✔Annually.

Karen is an enrolled agent who owns a tax practice with 4 employees. Which of the
following employees would be required to obtain a PTIN? - Answer -✔✔Daniel, who
assists in the preparation of returns, but does not sign any returns.

Janice, Gary, and Timothy are all tax preparers who plan to go into business together
and share an office. Can they share a single PTIN? - Answer -✔✔No, they cannot share
a PTIN.

Vihaan is exploring the possibility of opening a new business. He consults with his
friend, Miriam, an attorney who does not prepare federal tax returns. Miriam gives
Vihaan tax advice to keep in mind as he investigates his business options. Is Miriam
(the attorney) required to obtain a PTIN? - Answer -✔✔No.

Sheela is an EA who owns a tax practice franchise with locations in 3 different cities.
Sheela provides education and also supervises several tax preparers in each location.
Which of the following statements is correct? - Answer -✔✔Sheela will need her own
PTIN, as will each of the tax preparers who work in her firm, regardless of where they
are located.

Stacie is an enrolled agent who has requested to be placed on inactive retirement
status. Which of the following actions can Stacie still perform while being on the inactive
roster? - Answer -✔✔

In order to prepare tax returns for compensation, which of the following is required? -
Answer -✔✔A preparer tax identification number (PTIN).

Shane is an enrolled agent. Every tax filing season he hires two paid interns from the
accounting program at a local college to help him during the busy season. The interns
perform data entry from the tax organizer that his clients fill out, and assemble the
documentation that the clients have submitted. Where clients have submitted
incomplete information, or more information is needed, the interns may call clients to
gather information missing from the tax organizer, but they are not allowed to provide
advice or answer tax law questions. Shane prepares and sign all his clients' returns. Do
Shane's interns need to have a PTIN? - Answer -✔✔No, Shane's interns do not need to
have a PTIN.