Steps to Become an IRS Enrolled Agent
JT
Understanding the Role of an IRS Enrolled Agent
An IRS Enrolled Agent (EA) is a tax professional authorized by the U.S. Department of the Treasury. EAs represent taxpayers before the IRS for tax issues including audits, collections, and appeals. Becoming an EA can open doors to a rewarding career in tax consulting.
To become an EA, you need to pass a comprehensive exam and meet other requirements. This process ensures that you have the knowledge and skills to help clients with their tax needs.
Special Enrollment Examination (SEE)
This exam consists of three parts:
- Individual Taxation
- Business Taxation
- Representation, Practices, and Procedures
Each part covers different aspects of tax law and practice. You can find study materials and courses to help you prepare. Many candidates find it helpful to join a study group or take a prep course.
Study Tips
Set a study schedule and stick to it. Focus on one part of the exam at a time. Use practice exams to test your knowledge and identify areas where you need more study. Keep track of your progress and adjust your study plan as needed.
Make sure to choose a date and time that gives you enough time to prepare.
On the day of the exam, arrive early and bring the necessary identification. The exam is computer-based and consists of multiple-choice questions. You will receive your results immediately after completing the exam.
Apply for Enrollment
After passing all three parts of the SEE, you need to apply for enrollment. This involves submitting Form 23, Application for Enrollment to Practice Before the IRS. You will also need to pass a background check, which includes a review of your tax compliance history.
Continuing Education
You must complete continuing education (CE) requirements to maintain your status. This ensures that you stay current with tax laws and practices. You need to complete 72 hours of CE every three years, with a minimum of 16 hours each year.
Many professional organizations offer CE courses, and you can find online options as well. Staying up-to-date with CE helps you provide the best service to your clients.
Conclusion
Becoming an IRS Enrolled Agent is a rewarding career path for those interested in tax consulting. By following these steps, you can achieve this professional designation and help clients navigate their tax obligations. The process requires dedication and study, but the benefits are well worth the effort.