November 12, 2015
The IRS is changing the limited practice rights for unenrolled preparers as of January 1, 2016. Beginning on this date, only unenrolled preparers who participated in the IRS voluntary continuing education program and received a Record of Completion will be able to represent their clients whose returns they have prepared and signed during 2016 before revenue agents, customer service representatives, and similar IRS employees. All other unenrolled federal return preparers will have no representation rights and will only be allowed to complete and sign federal returns.
See the IRS Reminds Tax Return Preparers of Limited Practice Changes news release of October 29, 2015 on the IRS website for more information on this change.
There is still time for unenrolled tax return preparers to complete the continuing education requirements under the IRS Annual Filing Season Program and retain their limited practice rights on returns that they prepare during 2016. In order to receive a 2016 Record of Completion, a preparer must meet the following requirements by the end of the year (December 31, 2015):
All continuing education courses must be taken from an IRS approved CE provider and completed by the end of each year.
Unenrolled preparers who passed the Registered Tax Return Preparer Test, are an established participant in a state based return preparer program, are a VITA volunteer, or have met a limited number of other criteria will be considered exempt. This means their continuing education requirement will be 15 hours. See the Reduced Requirements for Exempt Individuals on the IRS website for more details on which unenrolled preparers are exempt and the details of their requirements.
For more information on the IRS Annual Filing Season Program see the following:
2018 Depreciation Changes
October 18, 2018
2018 Tax Law Changes that are Directly Reported on Form 1040
October 3, 2018
IRS Tax Transcripts Changes
September 27, 2018
Revised 2018 Schedule A due to Tax Cuts and Jobs Act Changes to Itemized Deductions
August 29, 2018
2018 Expansion of Preparer Due Diligence Requirements
August 8, 2018
IRS Accepting Renewal Applications for ITINs Expiring at End of 2018
July 25, 2018