The IRS has begun enforcing a new set of requirements starting January 1, 2012, and we at Spidell are providing the following information that will help you answer some of your questions.
Spidell will soon begin reporting hours to the IRS using a person’s Preparer Tax Identification Number (PTIN). PTINs are required for Enrolled Agents, CTECs, and RTRPs.
EAs
| Enrolled Agents (EAs) |
| Renew how often: |
Every 3 years |
| Number of hours: |
72 hours (at least 16 hours per year) |
| Ethics: |
6 hours (2 each year) |
| State-only courses: |
Qualifies: Only if at least 80% of the program material consists of a comparison between federal and state tax laws.
Doesn't qualify: State-only issues, like sales tax. |
Spidell's 2011/2012 Fall Federal and California Tax Update Seminar:
As a result of the 80%/20% test, any EAs who attend the Fall Federal and California Tax Update Seminar after January 1, 2012, will only receive 6 hours of credit for the seminar.
Spidell will be offering the online version of the America’s Funniest Tax Cases self-study for free to make up for the loss of the two hours.
Qualified provider:
Only credits obtained through courses offered by IRS-approved continuing education providers will count toward the IRS continuing education requirement. Spidell is an IRS-approved continuing education provider, and Spidell courses each list a description of whether the course qualifies for continuing education for EAs. All IRS-approved courses will have a program number that will be listed on the certificate of completion.
- Spidell’s Provider number is CRA7E
- Spidell’s 2011/2012 Fall Federal and California Tax Update Seminar course number is CRA7E-U-00001-12-I
RTRPs
Anyone who is a CTEC must also be registered with the IRS as a Registered Tax Return Preparer (RTRP).
What is an RTRP?
RTRPs are individuals who are paid to prepare returns but are not already licensed as EAs, CPAs, or attorneys.
To be an RTRP, an individual must pass a competency examination sometime prior to December 31, 2013. Until an individual has passed the exam, he or she must have a PTIN and is technically called a “provisional RTRP.”
All individuals who are currently registered with CTEC will be required to register as RTRPs with the IRS. However, RTRPs practicing in California will still be required to register with CTEC. This means that CTECs will now have two licenses to maintain. Each will have its own set of continuing education requirements.
| RTRPs |
| Renew how often: |
Every year (cycle runs January 1 through December 31) |
| Number of hours: |
15 (3 hours of federal tax law update, 2 hours of ethics, and 10 hours of federal tax law [can include federal tax law update]) |
| Ethics: |
2 hours (included in above) |
| State-only courses: |
Qualifies: Only if at least 80% of the program material consists of a comparison between federal and state tax laws.
Doesn’t Qualify: State-only issues, like sales tax. |
Qualified provider:
Only credits obtained through courses offered by IRS-approved continuing education providers will count toward the IRS continuing education requirement. Spidell is an IRS-approved continuing education provider, and Spidell courses each list a description of whether the course qualifies for continuing education for RTRPs. All IRS-approved courses will have a program number that will be listed on the certificate of completion.
- Spidell’s Provider number is CRA7E
- Spidell’s 2011/2012 Fall Federal and CA Tax Update seminar course number is CRA7E-U-00001-12-I
CTECs
| CTECs |
| Renew how often: |
Every year (cycle runs November 1 through October 31) |
| Number of hours: |
20 (15 hours of federal credit [a mixture of federal tax update and federal tax law programs, including 2 hours of ethics], 5 hours of California) |
| Ethics: |
2 hours of ethics (see above) |
As a result of the 80%/20% test, any CTECs who attend the Fall Federal and California Tax Update Seminar after January 1, 2012, will receive 6 federal update hours and 2 California hours of credit for the seminar.
Because CTECs will be losing 2 California hours, Spidell will be offering a new 2-hour Taxletter self-study to make up the difference. This course will be offered online.
Qualified provider:
- Spidell’s CTEC Provider number is 1019
- Spidell’s 2011/2012 Fall Federal and CA Tax Update seminar course number is 1019-CE-0427 if taken prior to January 1, 2012. The course number for anyone who attends the seminar after December 31, 2011, is 1019-CE-0451.
