PTIN required when???

[JON]

Now they have said there is a category of workers in a tax office who need PTINs and the $64, but do not have to have the CPE???? If they touch or have any input to the return??? Our favorite here (MN) Carole Smith (IRS) has sent some kind of an E out supposedly explaining this. Does anyone else have information related to this??? Any input on the return???

[Matt Sova]

Ptin

The way I understand it is if an employee of a CPA, attorney or EA does substantial work on the return they need the PTIN. However, if they are not signing the return they do not need the testing and continuing education requirements.

[Jesse]

Try this link for guidance: http://www.mhco.com/Library/PDF/2011/N_2011_6.pdf

a. Tax Return Preparers Supervised by Attorneys, Certified Public
Accountants, Enrolled Agents, Enrolled Retirement Plan Agents,
and Enrolled Actuaries

[taxea]

The way I understand it is if an employee of a CPA, attorney or EA does substantial work on the return they need the PTIN. However, if they are not signing the return they do not need the testing and continuing education requirements.

They will need to complete the testing required for the PTIN and the continuing edu of 15 hrs per year

The don't need the CPA or EA license

[abby]

some guidance on notice 2001-

Try this link for guidance: http://www.mhco.com/Library/PDF/2011/N_2011_6.pdf

a. Tax Return Preparers Supervised by Attorneys, Certified Public
Accountants, Enrolled Agents, Enrolled Retirement Plan Agents,
and Enrolled Actuaries

Here's some guidance on this attachment from our local IRS liason guy:

Along with other items, this notice includes in particular:
Page 3 - guidance regarding a testing and education exemption for certain supervised return preparers

Page 6 - guidance regarding a testing and education exemption for preparers who do not prepare any Form 1040 series returns

Page 8 - a list of forms NOT subject to PTIN requirements

[newbie]

They will need to complete the testing required for the PTIN and the continuing edu of 15 hrs per year

The don't need the CPA or EA license

Just when ya think ya got it all figured out ~~~~~~~~ they go and change the rules. LOL

[okie1tax]

PTIN no test no cpe

Taken from Notice 2011-6

Individuals who obtain a PTIN under this provision and prepare, or assist in
preparing, all or substantially all of a tax return or claim for refund for compensation will
not be subject to a competency examination or continuing education requirements.
These individuals, however, may not sign any tax return they prepare or assist in
preparing for compensation, represent taxpayers before the IRS in any capacity, or
represent to the IRS, their clients, or the general public that they are a registered tax
return preparer or a Circular 230 practitioner.

[JON]

Thanks

I think I get it. The new term is processor. If you are using someone for input to the final product I think this means a PTIN, but without the educational requirements. I do think this changed a little and that was the purpose for 2011-6. I guess it is another money maker. The responsiblity to third parties is the firm and the one who signs. I believe this notice is just worthless other than to raise money.