Certified Tax Preparer

[ruthc]

I have seen a few advertisements with a tax preparer stating "Certified and Registered Tax Preparer". Have any of you seen this, and if so, is is correct to use the word "certified"? Thanks for any responses!!

[Peachie]

Regustered Ruth,

I have seen a few advertisements with a tax preparer stating "Certified and Registered Tax Preparer". Have any of you seen this, and if so, is is correct to use the word "certified"? Thanks for any responses!!

not certified.

[OtisMozzetti]

"registered" as a tax return preparer is OK, but "certified" is not.
Enrolled agents can say they are enrolled or authorized to practice with the IRS, but cannot say they are "certified" by the IRS.
In each case, the tax professional had to pass exam(s) to become registered or enrolled.

[okie1tax]

Certified tax professional

I think you may have seen something from University of Phoenix. They talk about a lot of "Certified" tax positions including "Certified by the IRS". Hopefully no one who prepares taxes uses that little misnomer.

[ruthc]

Thanks

Thanks to everyone for your response. I did see a new tax business that advertised their business card with this title. We are in a very small town so I might stop in the small office to inquire about this. Thanks again!

[Bees Knees]

You might want to print out and bring in a copy of Circular 230, page 23, under Section 10.30, Solicitation. It says:

(a) Advertising and solicitation restrictions.
(1) A practitioner may not, with respect to any Internal Revenue Service matter, in any way use or participate in the use of any form of public communication or private solicitation containing a false, fraudulent, or coercive statement or claim; or a misleading or deceptive statement or claim. Enrolled agents, enrolled retirement plan agents, or registered tax return preparers, in describing their professional designation, may not utilize the term “certified” or imply an employer/employee relationship with the Internal Revenue Service. Examples of acceptable descriptions for enrolled agents are “enrolled to represent taxpayers before the Internal Revenue Service,” “enrolled to practice before the Internal Revenue Service,” and “admitted to practice before the Internal Revenue Service.” Similarly, examples of acceptable descriptions for enrolled retirement plan agents are “enrolled to represent taxpayers before the Internal Revenue Service as a retirement plan agent” and “enrolled to practice before the Internal Revenue Service as a retirement plan agent.” An example of an acceptable description for registered tax return preparers is “designated as a registered tax return preparer by the Internal Revenue Service.”

You can print out a copy of Circular 230 at:

http://www.irs.gov/pub/irs-pdf/pcir230.pdf

[Gretel]

...and if they refuse to make the change to comply with Cir.230 please - for all our sake - report them to the IRS using form 3949A.

[MAMalody]

While I don't disagree with any of the prior posting, I don't read the OP as saying this individual indicates he is certified by the IRS. He could be certified by Podunk U. If so, and he is not also any of the individuals mentioned specifically in Cir 230 quote above, is he in violation?

I may be interpreting 230 wrong. I would be interested in this individuals answer to the question: Certified by who (or is it whom)?

[Gary2]

While I don't disagree with any of the prior posting, I don't read the OP as saying this individual indicates he is certified by the IRS. He could be certified by Podunk U. If so, and he is not also any of the individuals mentioned specifically in Cir 230 quote above, is he in violation?

I may be interpreting 230 wrong. I would be interested in this individuals answer to the question: Certified by who (or is it whom)?

This prompted me to think about whether I could put Certified Software Quality Engineer on my cards (ignoring the fact that I allowed it lapse quite a few years ago). Of course, that's hardly relevant to tax prep, so a better example would be someone who's a Certified Financial Planner.

What Circular 230 says is "Enrolled agents ... in describing their professional designation, may not utilize the term “certified” or imply an employer/employee relationship with the Internal Revenue Service. Examples of acceptable descriptions ...." A narrow reading suggests that no one, other than CPAs, may use the word "certified" in any way that relates to their authority to interact with the IRS, including the right to prepare taxes for a fee. A slightly broader reading would extend to their ability or skills at tax prep.

I hope that someone who was both an EA and a CFP would be allowed to include both sets of initials after the name, but it could be dicey if they elaborated more on the business cards. Larger forms of advertising (say letterhead or brochures) could probably pass muster by keeping the tax prep and financial planning activities separate. Of course, this is just speculation on my part.

[Bees Knees]

This prompted me to think about whether I could put Certified Software Quality Engineer on my cards

Circ. 230 says:

Enrolled agents, enrolled retirement plan agents, or registered tax return preparers, in describing their professional designation, may not utilize the term “certified”

Saying you are a Certified Software quality Engineer is not using the term "certified" in describing your professional designation as an EA or as an RTRP. The prohibition of using the term "certified" only applies to how you describe yourself as a tax professional. Only CPAs can use the term "certified" in describing their qualifications to prepare tax returns or other forms of practice before the IRS.

[ruthc]

I will take the advice to include the circular 230 info on what is allowed/not allowed in advertising our designation. I would think the person would advertise as a CPA if they were certified. However, they just wrote "Certified and Registered Tax Preparer" on the business card they posted into the newspaper. Being a small business, I certainly don't want to lose business, or not get new business to a business that doesn't advertise properly. I worked hard to achieve the EA status and to be able to have a good clientele. I don't want to lose anything to a registered tax preparer who doesn't adhere to the rules.

[joanmcq]

There's a storefront down the street from me that now has that on their sign. Guess I should stop in and inform them....

[okie1tax]

Certified

Aww, be so much more fun to notify their corporate offices and see how long it takes to come down!

[David1980]

There's a storefront down the street from me that now has that on their sign. Guess I should stop in and inform them....

And going down the street the other way there's probably the preparer doing the "stimulus" refund returns... (Bogus education credit normally). It is not a surprise in the least that people ignore ... well, everything. Anything to make a buck. For some people.

[John of PA]

FYI Liberty Tax Service is certifying all thier preparers and may be using this next tax season for Marketing purposes. Be prepared to explain to your clients what all this means.