Getting started as a Professional Income Tax Return Preparer may be easier than you thought. Get off on the right foot by following these quick steps.
Anyone who prepares tax returns and charges a fee for their services is required to have a Preparer Tax Identification Number (PTIN) . There aren’t any educational requirements to get your PTIN. You can create one online on the IRS website. The process only takes about 15 minutes. You can also apply for a PTIN by completing and mailing in Form W-12.
If you plan to file tax returns electronically, the IRS requires that you have an Electronic Filing Identification Number or EFIN . You can complete your application quickly on the IRS website, here. You will also need to provide your fingerprints to the IRS unless you are already a certified licensed professional, like a CPA or attorney. It should take about 45 days to get your EFIN.
Every state is different. Depending on where you plan to work, you may or may not need to register as a tax preparer. Look up your state’s requirements before you begin accepting clients.
When you are just starting out as a tax preparer, you may find it helpful to work for an established tax prep service for a brief period. Not only will you be able to ask questions and gain experience during tax season, but you could also learn valuable lessons about the state and local requirements where you plan to start your business. Check out VirtualTaxJobs.com or RecessionProofTaxJobs.com
Every tax preparer is different. Depending on your level of experience in the industry, you may require certain things from your tax preparation software. Consider your needs first. Will you only require 1040 Software? Are you planning to expand offices and bring in new staff? What about Business returns?
Some Software providers only supply Income Tax Preparation Software where others are more supportive. You may lack all the fundamentals of Tax Law and require additional training, enjoy a support network, Marketing Materials, and that group feel. If you want Software plus support, inquire about our Inclusive Programs.
Then ask four essential questions to help you decide on the best solution.
Tax Software For Pros is an all-inclusive easy-to-use professional tax prep software for tax preparers with all levels of education and experience.
