EAs and firms exempt from NYS Preparer Registration

[dtlee]

For the upcoming tax season, EAs will be treated the same as attorneys and CPAs for the purposes of the New York Preparer Registration rules. On July 30, 2010, Governor Paterson signed bill A8556-A into law which exempts Enrolled Agents from the New York State Preparer Registration rules. Here is how I now expect the law to read:

"Tax return preparer" means an individual who prepares a substantial portion of any return for compensation. Employees of a tax return preparer or a commercial tax return preparation business who prepare returns for clients of that preparer or preparation business, as applicable, and partners who prepare returns for clients of a partnership engaged in a commercial tax return preparation business, are all "tax return preparers" for purposes of this section. Excluded from the definition of "tax return preparer" are attorneys, public accountants, enrolled agents, and certified public accountants, and employees of an attorney, public accountant, enrolled agent, certified public accountant, or firm thereof preparing returns under the supervision of such attorneys, public accountants, certified public accountants and enrolled agents or firms thereof. Also excluded are volunteer tax preparers, employees of a business or partners in a partnership whose job responsibilities include preparation of only the business' or partnership's returns, and employees of a tax return preparer or a commercial tax return preparation business who provides only clerical or other comparable services.

This law is effective immediately.

[erchess]

Cool

Do EAs still have to register in order to do ten or more NY returns?

[dtlee]

I think this is cool, too!!!!!

Under the revised law, all EAs, CPAs and attorneys and their employees (or employees of their firms) are exempt from New York State tax preparer registration. In other words, there is no requirement that any EA register with New York as a tax preparer since they are now excluded from the definition of a tax preparer.

The change has not yet percolated through to the New York State website.

See announcement here and reference to A 8556-A which was sponsored by NY State Assemblyman Herman D. Farrell, Jr. and NY State Senator Carl Kruger:

http://readme.readmedia.com/Governor-Paterson-Signs-83-Bills-into-Law/1659257

Thank you Assemblyman Farrell and Senator Kruger!!!!

Details of the legislation can be found here:

http://open.nysenate.gov/legislation/bill/A8556A

[S T]

This is Great

This was such a "huge" burden and undertaking for several of us last year to comply. I prepare less than 10 returns, but still had to register - and it was a "most difficult task" as can be found on prior posts.

So thank goodness! I thank everyone involved in overturning and rectifying this registration process,

One less Registration to worry about

Sandy

[dtlee]

Non-EAs will still need to comply with the registration rules that you describe.

Perhaps this is another incentive to earn the Enrolled Agent designation.

[S T]

Agreed

I am an EA so that let's me out of the "loop"
However, you are correct non-EA's will still have to Register

I would encourage anyone on the Board that Is not an EA to pursue the testing for EA over the remaining year and into to next year

Sandy

[New York Enrolled Agent]

So thank goodness! I thank everyone involved in overturning and rectifying this registration process,

Sandy

SPECIAL thanks to two New York enrolled agents who worked this political process and got these results. Bill Stevenson, EA and David Silverman, EA are owed a great deal of gratitude from their colleagues. Take my word - without their efforts, this result would not have been accomplished.

[Lion]

Amen!

A huge thank you to those mentioned and to the NYSEA chapter of NAEA who fought the good fight and won for all of us!

[MAJ]

NY Registration - Bah - Humbug!

I too prepare less than 10 NY returns (about 8 I believe - including my own).
I am in NJ. However, the registration process is a JOKE in my eyes.

They don't know if we can add to 10 or have ever prepared a return but we'll need to register - And if I go over 10 this year I'll have to pay $100 - That's at least $10 per return I'll have to add on to cover costs...

If we're going to register (and/or pay) at least make us answer a few questions to make us feel like we've accomplished something. Otherwise you've only confirmed it's being done simply for the money!!

[Lion]

Ny

Yes, NY is collecting money, plain and simple. I too registered last year -- a very lengthy, confusing process -- and paid $100. But, I'm an EA and now don't have to go through that for 2010. One more reason to go for an EA.

[MAJ]

EAt me! I say to NY!

Yes. One more reason to go for the EA. Trust me I'm considering it...
So - What courses are available? Some nice MP3 audios would be good to listen to while I commute to NYC every day -- Just a 1.5-2hr ride... Great time to study & catch up on reading... May as well start heading down that path..

So, honestly, what is the difficulty level??



Wait a minute -- You passed it?? Seriously, I need to start reviewing the requirements and such. If I can operate on brains, trains & computers -- I think I can stay focused long enough to ....... wait....... what were we talking about again??

[Lion]

Ea

Now that you can take one part at a time without waiting a whole year to take more, you only have to focus on one part at a time. Someone who's taken the new three-part exam recently can chime in. Going back to the old four-part and what I've heard about the three, you have a section on individual returns, a section on entities which I remember being basis basis basis, and a section on Circular 230 type stuff. NAEA has a course, of course! They use the Gleim materials I think. People rave about Gleim and a couple of other companies. I took an H&R Block course that was outstanding, but don't think they allow non-employees any more.

[New York Enrolled Agent]

The official word from NYS

http://www.tax.state.ny.us/pdf/memos/multitax/m10_3c_6i_8m_2mctmt_3r_9s.pdf