There are 20 states that have regulations for preparers who offer tax refund loan products with the following types of requirements:
Here are the details for each State in each of the two categories of State requirements;
States that require preparers to register
The North Carolina Refund Anticipation Loan Act explains the registration requirements and other requirements for a business that offers RALs.
Must go to the North Carolina Commissioner of Banks – Refund Anticipation Loan Facilitators Overview website and from there you can link to the online application and get the latest reporting requirements and due dates.
These companies facilitate loans against anticipated tax refunds. They offer rapid tax refunds for people who can’t wait. The service allows people to “Get your tax refund today rather than later.” They also:
Must register and pay fee on the Texas OCCC – Refund Anticipation Loan (ALECS) website.
Washington businesses that offer tax refund anticipation loans (RALs) must register with the Department of Financial Institutions (DFI).
Must fill out application and mail to State of Washington with the applicable fee.
The application is available on Washington State DFI – Tax Refund Anticipation Loan Facilitators website.
The requirements for tax preparers and facilitators are contained in the New York Consumer Bill of Rights Concerning Tax Preparers.
To register all tax return preparers and loan facilitators must register on the New York State tax preparer registration page.
A person may not be a facilitator of a RAL without being licensed as a tax preparer or consultant with Oregon. This is stated on the Oregon website under statutes on the Chapter 73 Tax Consultants and Preparers.
No additional registration required if the person is already licensed as a tax preparer in Oregon.
States that require disclosures and other requirements of preparers
Requirements are detailed in the Arkansas Code Title 4 Subtitle 7 Chapter 116 Refund Anticipation Loan Act.
Requirements are detailed in California Business and Professions Code Section 22253.1.
Requirements are contained in the Colorado Revised Statute Title 5 Consumer Credit Code – Disclosures Required for RAL facilitators
Requirements are detailed in Chapter 743ee Refund Anticipation Loans on the State of Connecticut website.
Requirements are contained in the Tax Refund Anticipation Loan Act on the Illinois General Assembly website.
Requirements are on the Louisiana website on the legislature - RS 9:3579.4 page
Requirements are on the Maine website under: Title 9-A: Maine Consumer Credit Code: Article 10: Part 3
Disclosure requirements are on the Maryland website on the HB1206: Commercial Law - Consumer Protection - Refund Anticipation Loans and Checks page.
Requirements are on the Michigan legislative website on the Refund Anticipation Loan Act page.
Requirements are contained in the Minnesota Statute governing Tax Preparation Services on the Minnesota Office of the Revisor of Statutes website.
Requirements are detailed in New Jersey Statute Title 17 Section 17:11 D-3 Refund Anticipation Loans.
Requirements are on the Virginia website under: Title 62; Chapter 25 – Refund Anticipation Loans – Advertising; posting RAL fee schedule; and disclosures
Requirements are on the Nevada website on the Chapter 604B – Refund Anticipation Loans page.
Requirements are detailed in Tennessee Code Title 62 Chapter 29 Part 2 Refund Anticipation Loans (Disclosures and Prohibited Activities)
Disclosure requirements are detailed in Wisconsin Statute 422.310 Refund Anticipation Loans.
They are also detailed on the Refund Anticipation Loan page of the Wisconsin Department of Revenue website.
IRS Use of Private Debt Collection Agencies
June 20, 2017
Expired Individual Federal Tax Provisions
May 10, 2017
Reminder to Watch for Phishing Email Schemes
March 22, 2017
IRS Identity Verification Letters
March 1, 2017
Additional Reminders for this Filing Season
February 16, 2017
Useful IRS Webpages
February 1, 2017
Reminder of the Federal Refund Delays and Expansion of Preparer Due Diligence Requirements
January 11, 2017
Expiring ITINs and Tax Scams Aimed at Tax Preparers
January 6, 2017